Amid all the financial market euphoria since the government of national unity (GNU) was formed in July, the latest official data on the real economy is a sobering reminder of SA’s challenges.

The economy grew by just 0.4% in the second quarter of 2024, lower than the consensus forecast of 0.5%. Comparing this year’s first half with 2023’s also shows an increase of just 0.4%. On the upside, seven of the economy’s 10 sectors showed growth, and consumption spending rebounded quite strongly. On the downside, fixed investment declined for a fourth consecutive quarter. Net exports were down too. And agriculture and mining contracted, as did transport...

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