{"id":14488,"date":"2012-09-11T16:12:01","date_gmt":"2012-09-11T14:12:01","guid":{"rendered":"http:\/\/www.myza.co.za\/09\/update-1-s-africa-cac-widens-further-in-q2-spending-quickens\/"},"modified":"2012-09-11T16:12:01","modified_gmt":"2012-09-11T14:12:01","slug":"update-1-s-africa-cac-widens-further-in-q2-spending-quickens","status":"publish","type":"post","link":"https:\/\/www.myza.co.za\/press\/update-1-s-africa-cac-widens-further-in-q2-spending-quickens\/","title":{"rendered":"UPDATE 1-S.Africa c\/ac widens further in Q2, spending quickens"},"content":{"rendered":"

\t\t<\/span><\/p>\n

JOHANNESBURG, Sept 11<\/span> (Reuters) – South Africa’s current
\naccount recorded its largest shortfall in over three years in
\nthe second quarter of 2012 as exports fell because of subdued
\nexternal demand, while increased government spending on wages
\npushed gross domestic expenditure up.<\/span><\/p>\n

<\/span><\/p>\n

The Reserve Bank said on Tuesday higher dividend payments to
\nthe rest of the world resulting in a shortfall on the service,
\nincome and current transfer account also added to the current
\naccount gap.<\/p>\n

<\/span><\/p>\n

“Despite a depreciation in the exchange value of the rand,
\nexport volumes declined notably, influenced by the general
\nmoderation in global demand,” the central bank said in its
\nlatest quarterly bulletin.<\/p>\n

<\/span><\/p>\n

“With South Africa’s terms of trade also registering a
\nmodest further deterioration, the deficit on the current account
\nwidened to 6.4 percent of GDP.”<\/p>\n

<\/span><\/p>\n

The prices of imported goods grew faster than export prices,
\nwith the value of exports contracting.<\/p>\n

<\/span><\/p>\n

However, gross spending accelerated in the quarter, led by
\ngovernment spending on wages after public sector trade unions
\nnegotiated a 7 percent salary increase in July.<\/p>\n

<\/span><\/p>\n

The bank said that even though net dividend payments to
\nnon-residents were expected to remain high, the forecast
\nincreases would not be hugely significant.<\/p>\n

<\/span><\/p>\n

South Africa’s second quarter growth rebounded to 3.2
\npercent due to a big recovery in the mining sector. However the
\nbank said that growth rate may not be sustainable.<\/p>\n

<\/span><\/p>\n

“The non-primary sector of the economy has slowed down and
\nthe boost we got from mining may come to haunt us in the next
\nquarter,” said Rashad Cassim, head of research the central bank.<\/p>\n

(Reporting by Xola Potelwa; Editing by Ed Cropley)<\/p>\n

<\/span><\/p>\n

\n

\t\t\u00a9 Thomson Reuters 2012 All rights reserved<\/p>\n","protected":false},"excerpt":{"rendered":"

JOHANNESBURG, Sept 11 (Reuters) – South Africa’s current account recorded its largest shortfall in over three years in the second quarter of 2012 as exports fell because of subdued external demand, while increased government spending on wages pushed gross domestic expenditure up. The Reserve Bank said on Tuesday higher dividend payments to the rest of […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","ngg_post_thumbnail":0,"_jetpack_memberships_contains_paid_content":false,"footnotes":"","jetpack_publicize_message":"","jetpack_publicize_feature_enabled":true,"jetpack_social_post_already_shared":false,"jetpack_social_options":{"image_generator_settings":{"template":"highway","default_image_id":0,"font":"","enabled":false},"version":2}},"categories":[1],"tags":[830,2370,183],"class_list":{"0":"post-14488","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-south-africa","7":"tag-news","8":"tag-reuters","9":"tag-south-africa-2","10":"entry"},"jetpack_publicize_connections":[],"jetpack_featured_media_url":"","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/14488","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/comments?post=14488"}],"version-history":[{"count":0,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/posts\/14488\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/media?parent=14488"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/categories?post=14488"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.myza.co.za\/press\/wp-json\/wp\/v2\/tags?post=14488"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}