Toil and trouble beset construction and engineering sectors
An increase in financially stressed firms and mafia-style gangs targeting building sites across the country could sink the sector
The spotlight on the construction services sector seems to have diminished after years of increased activity and its enhanced contribution to GDP after the 2010 Fifa World Cup.
Empirical evidence from Statistics SA shows that the positive effects of derived activities from SA hosting the World Cup invariably increased the construction sector’s rand value-add to the domestic economy to 2014, before peaking in 2016. However, since 2016 the rand value and contribution of the industry to local economic activity have diminished considerably...