SA's mining sector in August had its biggest contraction in more than two years, but the economy is still expected to record growth in the third quarter. Mining production decreased 9.1% year on year in August 2018 after a contraction of 5.2% in July. This was the biggest contraction since March 2016. A Bloomberg survey of economists had expected a 4% contraction. The sector is likely to contract in the third quarter as it revised its gains in the second quarter. SA plunged into a recession for the first time since the global financial crisis, recording a contraction in the first half of the year. “The second consecutive notable decline in mining production data is a stark reminder that the mining sector is by no means out of the woods yet, with a growing probability that the mining sector will be a negative contributor to third-quarter GDP growth,” said NKC economist Elize Kruger. Despite this, growth in the retail and manufacturing sectors would probably boost the economy enough t...

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