GDP Decline: Ramaphosa Calls For National Effort To Rebuild ‘Battered’ Economy

PRESIDENT Cyril Ramaphosa says the decrease in South Africa’s gross domestic product during the second quarter of 2020 reflects the severe impact of the global coronavirus pandemic on the economy and should spur all South Africans to do all they can to help rebuild the economy.

While the 16.4% contraction in the second quarter (or 51% on an annualised basis) represents an anomaly due to the lockdown imposed at the end of March, these figures nevertheless reinforce the importance of enabling a strong rebound in subsequent quarters.

Countries across the world are facing significant economic disruption as a result of the pandemic, leading to the worst global downturn in decades. South Africa has not been spared these realities.

The coronavirus represents a once-in-a-century social and economic crisis, with disruptions to production, a synchronised decline in export markets and a prolonged decrease in demand for many service industries. The economic circumstances