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Article: Looming spectre of recession: an inexorable rise of basics, food, fuel and power is threatening galloping inflation in South Africa, says Tom Nevin. Higher interest rates have not helped to stem inflation. Does the government have an answer?(SOUTH AFRICA)(South Africa heading for no growth, no new jobs, recession)
- Article from:
- African Business
- Article date:
- June 1, 2008
- Author:
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Is South Africa heading for a recession, and if it is, will it drag its economically smaller neighbours along with it?
As for the first part of the question, most economists and analysts will concede to is "probably" or "maybe". On the second part, there was hope just a few months ago that emerging nations would be shielded from the contagion of economic downturn sweeping through developed markets. This might not necessarily be so if maverick inflation rates in some southern African countries are a barometer of regional economic climate.
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How they identify the causes and deal with the problem illustrates the fact that some ...