The previously optimistic forecasts for global economic growth have been revised downwards in the most dramatic fashion. More and more developed economies are forecasting imminent and prolonged recessions, with downward growth revisions almost on a weekly basis. These include the UK, the forecasts of the Euro area, Japan and the US economies to name but a few.
These are significant trading partners of South Africa. These countries account for more than two thirds of our manufactured exports. Even the previously fastest growing emerging market economies in Asia are expected to experience some significant moderation in economic growth.