SA inflation drops to 4-year low

South Africa's economic landscape is showing signs of growth and stability as the RMB-BER Business Confidence Index for Q4 2024 climbed to 45 points, up from 38 in the previous quarter. This marks the third consecutive increase in the index, signaling positive economic sentiment and potential growth for the nation. Isaah Mhlanga, Chief Economist and Head of Research at RMB, discussed the implications of these numbers in a recent interview with CNBC Africa. Mhlanga highlighted key sectors driving the confidence surge, including wholesalers, retailers, and building contractors, which have all shown improvements in their business outlook. The structural reforms and cyclical factors contributing to this uptick were also analyzed, with a focus on areas such as logistics, inflation, and consumer behavior. Looking ahead, Mhlanga emphasized the need for sustained commitment to economic reform and highlighted key factors that could propel South Africa's confidence levels even higher. The discussion also touched on global factors and the role of offshore investors in shaping the country's economic outlook. As South Africa works towards enhancing its business environment and addressing key challenges, the potential for increased investment and job creation remains a central focus for future growth.