JOHANNESBURG – The increase in the VAT rate and the higher fuel levy — which comes into effect in April — are weighing negatively on trade expectations.
This is the word from the South Africa Chamber of Commerce and Industry, SACCI.
SACCI says even though the business climate remained relatively improved in February, trade conditions slackened when compared to December 2017 and January 2018.
The group says the Trade Conditions Survey for February 2018 measured at 42 after the 51 in January 2018 and 48 in December 2017.
The seasonally adjusted six-month Trade Expectations Index was slightly down last month at 56 after a reading of 60 in December last year.
Employment remained low at 46 index points in February 2018 while the outlook for employment over the next 6 months remained positive at 53.