Five reasons to be hopeful about the economy

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The economy is likely to shrink again this year, due to the prolonged diamond downturn and government’s decreased ability to spend. However, despite the clouds, there are bright spots both now and into the future. Staff Writer, MBONGENI MGUNI writes on some of these

No one needs to be reminded that the economy is in trouble. It doesn’t take the 5.3% contraction in the second quarter to tell you that economic activity and opportunities have significantly tightened.

Much of the challenges are linked to the downturn in diamonds, which is now impacting on government revenues - the main driver of private sector activity and growth.

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