South Africa exits recession after 2.2% GDP growth

South Africa has exited recession three months after it slipped into an economic crisis, the country’s stats office has disclosed.

A release by the Statistics South Africa (SSA) said the nation’s Gross Domestic Product (GDP) grew by 2.2 percent in the third quarter of 2018.

SSA had in September 2018 announced that South Africa slipped into recession in the second quarter of this year for the first time since 2009 after the economy contracted by 0.7 percent.

South Africa’s economy expanded 2.2 percent in the third quarter from the second, snapping out of recession after a revised 0.4 percent contraction in the previous quarter, data from Statistics South Africa showed.

The rand added to early gains, advancing to a session-best 13.5600 per dollar at 0935 GMT from an open at 13.6150.

The economic expansion will also ease fears of credit downgrades deeper into non-investment territory following warnings by agencies about the economy.

Source: Voice of Nigeria