JOHANNESBURG - South Africa dollar bond prices rise across the curve after better-than-expected GDP data. South Africa’s economy expanded more than expected in the final quarter of last year largely driven by a recovery in agriculture and trade, Statistics South Africa said on Tuesday.
When looked on a quarter-on-quarter basis, South Africa’s GDP expanded 3.10 percent in the fourth quarter of 2017 over the previous quarter.
Market consensus was of a 1.8 percent fourth-quarter rise in growth, while the annual growth rate was forecast at 1.4 percent. South Africa's economy showed marginal positive growth for 2016, although it then contracted in the fourth quarter of the year. With similar contraction in the first quarter of 2017 that saw the economy enter a technical recession for the first time since 2009.
According to macroeconomics website Trading Economics, GDP Annual Growth Rate in South Africa averaged 2.83 percent from 1994 until 2017, reaching an all-time high of 7.10 percent in the fourth quarter of 2006 and a record low of -2.60 percent in the second quarter of 2009.
- BUSINESS REPORT ONLINE / REUTERS