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Goldman Sachs Downgrade 2023, 2024 Growth Forecasts

SOUTH AFRICA
  • Goldman Sachs view today’s GDP print as incrementally dovish from the perspective of the SARB, noting that domestic demand was the main driver of the weakness, with capital formation (both fixed investment and inventories) as well as household consumption contributing negatively.
  • Following the downside surprise to the Q3 GDP print as well as the downward revision to the Q2 estimate, Goldman Sachs have revised their full-year forecast for 2023 lower from +0.9% to +0.6%. They have also downgraded their 2024 growth forecast from +1.8% to +1.5%.

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