Volatile rand will limit manufacturing sector growth

ABOUT 16% of the economy
is driven by the manufacturing
sector. However growth in
this sector has been slowing
down during recent quarters
and business confidence has
fallen.
The Standard Bank Group
believes the manufacturing
sector will benefit by
domestic demand and global
growth. This should be
furthered by infrastructural
development, the expanding
economy and growing
middle class. The rand’s
volatility, uncertainty in
the global markets and the
lack of export incentives
will, however, limit the
manufacturing sector’s
growth.