South African business confidence remained weak in October, according to the SA Chamber of Commerce and Industry.
The chamber announced on Thursday that its index tracking business confidence fell to 91.7 in October from 92.4 in September. It is only the fourth time the index has dipped below the 92 point mark since 2012.
The index was pushed down form the previous month due to lower merchandise exports and imports, and to a lesser degree from a fall in the rand/dollar exchange rate and disrupted energy supplies caused by load shedding. A boost to new vehicle sales and lower consumer inflation, provided some pushback.
"The static level of the [confidence index] shows the market frustration, reflected in the BCI, to gain traction and build the necessary momentum which could support a turnaround of general economic conditions and sentiment," the chamber said in statement.
"Business confidence remains at a plateau while policymakers have little manoeuvring space to set the economy on course. Credit rating agencies, lenders and investors are reluctant to make decisions in an uncertain environment. The need for economic growth and reducing unemployment must take centre stage."
- Compiled by Jan Cronje