'Gauteng doing all it can to boost SA's GDP'
Stats SA says SA's GDP slowed to 0.6% in the fourth quarter of 2015.
JOHANNESBURG - Gauteng Premier David Makhura said despite South Africa's gloomy economic outlook, the province is doing all it can to increase its contribution to the country's Gross Domestic Product (GDP).
Last month, Makhura delivered his State of the Province Address, announcing that Gauteng's growth has slowed over the last year due to global and local factors.
The Premier said moments of political instability, which have also contributed to the weakening of the rand, can't be allowed to sidetrack Gauteng from its desired growth.
In December last year, the rand fell sharply after President Jacob Zuma fired former Finance Minister Nhlanhla Nene.
Makhura said despite some challenges, provincial leaders will move forward with the implementation of an economic plan.
"We're doing a lot and we'll be doing a lot to ensure that the Gauteng economy continues to create employment and we continue to drive transformation of this economy to create new sectors of the economy that link up very well."
Yesterday, Statistics South Africa (Stats SA) said GDP has slowed slightly. It said it slowed to 0.6 percent in the fourth quarter of 2015 from 0.7 percent in the quarter before.
Added to this, Stats SA said GDP expanded by 0.6 percent on a year on year basis compared to 1 percent in the previous three months.
Economists polled by Reuters had expected a quarter-on-quarter GDP increase of 0.8 percent and an expansion of 0.4 percent year-on-year.
Stats SA said the economy also grew by 1.3 percent in 2015 compared with 1.5 percent in 2014.
This is concerning as the government has been aiming to turn around growth.
Finance Minister Pravin Gordhan announced that growth for this year is forecast at 0.9 percent.
Hopefully the new measures mentioned in the Budget will turn the situation around.