The seasonally adjusted and annualised rate of the current account deficit declined from R13 billion in the second quarter of 1996 to R3½ billion in the second quarter of 1997.
Key risks to the economy are posed by an escalation of the military conflict with Russia and a longer-than- expected global price surge In particular, considerable uncertainty over whether or not the military conflict will escalate could worsen expectations and cause investors to put off their investment decisions, which would dampen economic recovery.