Confidence Index reflection of resilience, tenacity
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The South African Chamber of Commerce and Industry’s (SACCI) Business Confidence Index of 94.1 in January 2022 is a reflection of businesses’ resilience and tenacity during tough times.
SACCI senior economist, Richard Downing, says the business community and certain parts of society have succeeded in keeping the economy going by providing private sector goods and services during tough times in the country’s economy.
Downing says in some instances, businesses in the country maintained services that actually should have been provided for by the public sector. This was seen via the filling in of pot-holes etc by local businesses.
According to Downing, the index is more or less at the same level as it was in January 2021. From then onwards it went on an upward trajectory in the early parts of the year and then it was set back by several events in the country including the July 2021 riots.
“We’re not in a good place. The economy is sluggish and business is working in a difficult environment as far as the economy goes, but business has a lot of tenacity and resilience to keep on going,” says Downing.
SACCI’s business confidence index is compiled of 13 sub-indices, which considers what is happening in the South African market and the local economy.
In his sit-down with the OFM Business Hour, Downing weighed in on the expectations ahead of the State of the Nation Address (SONA) on Thursday.
He says President Cyril Ramaphosa needs to address worsening service delivery in the country as well as the nation’s shrinking fiscus in his address.
“However ultimately the solution to all these problems is economic growth,” says the SACCI economist.
SACCI senior economist, Richard Downing, says the business community and certain parts of society have succeeded in keeping the economy going by providing private sector goods and services during tough times in the country’s economy.
Downing says in some instances, businesses in the country maintained services that actually should have been provided for by the public sector. This was seen via the filling in of pot-holes etc by local businesses.
According to Downing, the index is more or less at the same level as it was in January 2021. From then onwards it went on an upward trajectory in the early parts of the year and then it was set back by several events in the country including the July 2021 riots.
“We’re not in a good place. The economy is sluggish and business is working in a difficult environment as far as the economy goes, but business has a lot of tenacity and resilience to keep on going,” says Downing.
SACCI’s business confidence index is compiled of 13 sub-indices, which considers what is happening in the South African market and the local economy.
In his sit-down with the OFM Business Hour, Downing weighed in on the expectations ahead of the State of the Nation Address (SONA) on Thursday.
He says President Cyril Ramaphosa needs to address worsening service delivery in the country as well as the nation’s shrinking fiscus in his address.
“However ultimately the solution to all these problems is economic growth,” says the SACCI economist.
