BUSINESS NEWS - South Africa’s real Gross Domestic Product (GDP) has improved by some 0.8% in the second quarter of 2025.
This is following a marginal increase of some 0.1% in the first quarter.
“The mining and quarrying industry increased by 3.7%, contributing 0.2 of a percentage point.
“The largest positive contributors were platinum group metals, gold and chromium ore,” Statistics South Africa (Stats SA) said on Tuesday.
The country’s manufacturing industry also increased by some 1.8% over that period – contributing 0.2% to the GDP.
“Seven of the ten manufacturing divisions reported positive growth rates. The largest positive contributions were reported for the petroleum, chemical products, rubber and plastic products division and the motor vehicles, parts and accessories and other transport equipment division.
“The trade, catering and accommodation industry increased by 1.7%, contributing 0.2 of a percentage point. Increased economic activities were reported for retail trade, motor trade, accommodation and food and beverages,” the institution said.
On the downside, the transport, storage and communication industry decreased by 0.8%.
“Decreased economic activities were reported for land transport and transport support services.
“The construction industry [also] decreased by 0.3%. Decreases were reported for residential buildings and non-residential buildings,” Stats SA said.
Expenditure on GDP
South Africa’s Household Final Consumption Expenditure (HFCE) also rose – increasing by some 0.8% and contributing 0.6 of a percentage point to the total growth.
“Positive growth rates were reported for durable goods, semi-durable goods and services.
“The main positive contributors to the increase in HFCE were expenditures on ‘other’ [2.6% and contributing 0.3 of a percentage point], restaurants and hotels [4.8% and contributing 0.2 of a percentage point], clothing and footwear (3.4% and contributing 0.2 of a percentage point], transport [0.7% and contributing 0.1 of a percentage point] and communication [1.1% and contributing 0.1 of a percentage point].
“The negative contributors were expenditures on housing, water, electricity, gas and other fuels and alcoholic beverages, tobacco and narcotics,” Stats SA revealed. – SAnews.gov.za
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