The RMB/BER business confidence index in South Africa held steady at 45 in Q1 2025, marking a near 3-year high despite declines in four out of five sectors, with new vehicle dealers showing a significant 29-point increase in confidence.
The RMB/BER business confidence index in South Africa has remained steady at a value of 45 in the first quarter of 2025. This marks the highest recorded level in nearly three years, following three continuous increases. This reading slightly exceeds the long-term average of 43 and is significantly higher than the sentiment levels observed at the beginning of the previous year.
Despite the overall stable sentiment, it is noteworthy that four out of five sectors experienced a decrease in confidence compared to the fourth quarter of 2024, as noted by RMB/BER. Conversely, a significant 29-point increase in confidence was reported among new vehicle dealers, which played a crucial role in offsetting the declines seen in other sectors.
In conclusion, while South Africa’s business confidence index has reached a notable high, the decline in sentiment across most sectors presents a concern for future economic stability. The surge in confidence among new vehicle dealers serves as a positive indicator, yet it remains critical to address the challenges faced by other sectors to maintain robust economic growth.
Original Source: www.tradingview.com
