These include a series of protracted strikes in the motor vehicle and mining sectors in particular; a decline in the terms of trade of just over 4 per cent in 2012 and 2013, largely in response to the slowdown in China; and a widening of the deficit on the current account of the balance of payments, which, in conjunction with the fiscal deficit of around 4 per cent of GDP is seen to have contributed to the vulnerability of the economy to the possibility of a sudden stop in capital flows.
The current account deficit widened from 2,3 per cent of GDP in 2011 to 5,8 in 2013, with the trade account accounting for about half of this number. This deterioration has occurred despite the significant depreciation of the nominal effective exchange rate of the rand of over 22 per cent since the beginning of 2012.