SA likely to suffer technical recession in 2023, says Absa
Absa economist expects the effects of power cuts on the economy to weigh on tax collections
13 February 2023 - 19:38
Absa Bank, one of SA’s biggest financial institutions, is forecasting two quarters of negative growth — or a technical recession — citing heightened power cuts that it says will affect the country’s near-term growth prospects and place pressure on future tax revenue collection.
Absa’s downward revisions follow a warning by Moody’s Investors Service last week that SA’s longest-ever stretch of power cuts and concerns over its deteriorating economic growth outlook are “credit negative”...
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