© Reuters. A worker cleans a 1964 Mercedes-Benz 230SL car, displayed at a Thobela Cars showroom in Sandton, South Africa, January 24, 2024. REUTERS/Siphiwe Sibeko/file photo
JOHANNESBURG (Reuters) – South African manufacturing activity recovered in February after a steep slump the month before, a Purchasing Managers’ Index (PMI) survey showed on Friday.
The seasonally-adjusted PMI increased to 51.7 points in February from 43.6 in January, rising above the 50-point mark that separates expansion from contraction.
The business activity sub-index and new sales orders performed better in February but remained in negative territory.
“Respondents were more upbeat about exports, possibly signalling some alleviation of the congestion and disruptions at local harbours,” Absa, which sponsors the PMI, said in a statement.
South Africa is facing record power shortages and a logistics crisis at its rail and port operator Transnet which have strangled business activity and slowed growth in Africa’s most industrialised economy.
