StatsSA has revealed that the economy grew by 1.2 percent in Q2:2021, but real GDP is reportedly declining, due to the decline in economic activity imposed by lockdown restrictions.
Statistics South Africa (StatsSA) released the results of the gross domestic product (GDP) for the second quarter of 2021 (Q2:2021) on Tuesday, 7 September 2021. StatsSA confirmed that the South African economy reported a growth of 1.2 percent, following an adjusted rise of 1.0 percent in real gross domestic product in quarter one.
StatsSA revealed that real GDP was R1 131 billion in Q2:2021, marking a decline of 1.4 percent from Q1. This was mainly attributed to the sudden drop in economic activity due to lockdown restrictions. Furthermore, land transport and communications contributed the 6.9 percent rise in transport, storage and communication.
In relation to expenditure on GDP, trade increased by 2.2 percent, driven by increased economic activity, personal services increased by 2.5 percent, and household expenditure recorded an increase of 0.5 percent. This was due to the rise in household spending on transport, food, beverages and health. Additionally, exports reported a 4.0 percent increase.