SA retail sales slump for first time in almost 2 years

(iStock)
(iStock)

South African retail sales slumped unexpectedly for the first time in 22 months in December.

Sales contracted 1.4% from a year earlier, compared with a revised 2.9% increase in November, Pretoria-based Statistics South Africa said in a report on its website Wednesday.

That’s the first time sales declined since February 2017.

Key Insights

The median of 10 economists’ estimates was for expansion of 2.5% in December. Retailers including Shoprite, the continent’s biggest grocer, have reported slower growth that reflects the country’s weakened economic outlook.

Lower-income consumers are struggling most of all because of higher fuel prices and increased value-added tax.

Africa’s most-industrialised economy hasn’t expanded by more than 2% a year since 2013, and the central bank in January cut its forecast for growth in gross domestic product this year to 1.7% from 1.9%.

ZAR/USD
16.33
(-0.06)
ZAR/GBP
21.08
(-0.04)
ZAR/EUR
19.33
(-0.03)
ZAR/AUD
11.90
(-0.03)
ZAR/JPY
0.16
(-1.15)
Gold
1949.72
(+0.03)
Silver
26.74
(+0.09)
Platinum
928.80
(+0.44)
Brent Crude
43.52
(-0.32)
Palladium
2356.01
(+0.63)
All Share
54673.65
(-0.66)
Top 40
50399.16
(-0.59)
Financial 15
9841.32
(-2.14)
Industrial 25
72558.00
(-1.08)
Resource 10
55438.10
(+0.58)
All JSE data delayed by at least 15 minutes morningstar logo
Company Snapshot
Voting Booth
Do you think it was a good idea for the government to approach the IMF for a $4.3 billion loan to fight Covid-19?
Please select an option Oops! Something went wrong, please try again later.
Results
Yes. We need the money.
11% - 1303 votes
It depends on how the funds are used.
73% - 8631 votes
No. We should have gotten the loan elsewhere.
16% - 1904 votes
Vote