Marcus: growth outlook cut

The Reserve Bank has downwardly revised its economic growth forecast for SA to 2.9% next year and 3.6% in 2014 on continued worries over the global economic slowdown and labour unrest in the mining‚ transport‚ and agriculture sector.

The bank had forecast a growth rate of 3.4% for 2013 previously.

Central bank govenor Gill Marcus. Photo: Mxolisi Madela. Credit: Independent Newspapers

Reserve Bank Governor Gill Marcus said the global economic outlook had deteriorated since their last meeting in September‚ adding that prospects for the region remained bleak.

The eurozone‚ which is a key export destination for local goods‚ is in recession‚ which bodes ill for local economic prospects.

Governor Marcus said the strikes in the agriculture sector were also likely to add pressure to growth. - I-Net Bridge