In particular, growth in real fixed capital formation accelerated considerably from the beginning of 2004. This follows on a good performance in 2003. The rate of increase in real fixed investment rose from 8½ percent in the fourth quarter of 2003 to no less than 21 percent in the first quarter of 2004.
This exceptionally high growth was registered as a result of the fact that private business enterprises stepped up fixed capital outlays and the South African Airways purchased several aircraft. Growth in real private consumption expenditure rose from an annualised rate of 4 percent in the fourth quarter of 2003 to 5 percent in the first quarter of 2004.