South Africa's private sector activity expanded at the fastest pace in just over one year in June. Growth in new orders accelerated to a 13-month high in June, linked to a recovery in economic conditions, especially in KwaZulu-Natal following floods earlier this year.<br />''<br />''Media reports said that it happened due to strengthening client demand, rising employment, and renewed stockpiling despite woes of inflationary pressures amid a surge in global fuel prices and supply-side challenges. The employment levels in June, with the rate of job creation, reached its highest point in a year. As a result of increased orders and activity, South African companies increased employment levels in June, with the rate of job creation reaching its highest point in a year.<br />''<br />''<span style="color: #222222;">Business activity grew at the fastest pace since May 2021, driven by a robust expansion in the service sector, contrasting with reduced output in construction and wholesale, and retail. However, cost burdens increased at the steepest pace since March 2014, primarily due to higher fuel prices. Supply shortages and a strengthening US dollar were also the reason behind the increase in material costs in May, along with growing staff wages.</span><br />
News On AIR | July 6, 2022 1:05 PM
South Africa private sector activity expands at fastest pace in June