UASA Media Release: 03 December 2024
Statement by Abigail Moyo, spokesperson of the trade union UASA:
The contraction of 0.3% in gross domestic product (GDP) in the third quarter of the year is disappointing and cause for concern as the economy shows no improvement.
Stats SA reports that a slump in output in the agriculture and transport industries resulted in the unexpected contraction. The contraction is a blow for the nation and Pres. Cyril Ramaphosa and his coalition partners, who declared boosting growth a top priority following the general elections earlier this year.
According to the report, the agriculture, forestry, fishing, transport, storage and communication industries contributed to the contraction in the economic activities, together with lower employment numbers in the civil service.
The contraction will add to pressure on the South African Reserve Bank (SARB), which has cut rates by only 50 basis points this year – far less than many other countries.
Following the rate cuts, South Africans slowly started to believe that the economy was recovering, with inflation cooling down and bringing hope for a more affordable cost of living and better possibilities for job creation.
While we cannot let our hope crumble, we cannot survive on hope and resilience alone. Millions of South Africans need jobs and UASA hopes that sufficient jobs will be created in the coming year. Job creation should be the top of the list to salvage the situation.
For further enquiries or to set up a personal interview, contact Abigail Moyo at 065 170 0162.