Skip to main content

SA growth, Nigeria petrol subsidy, Kenya floods

South Africa’s manufacturing PMI for April released this week added to the evidence that growth will pick up over the coming quarters. But stronger growth is coming too late to help the ANC’s election fight. Elsewhere, in Nigeria, soaring petrol prices may eventually recede, but the government’s de facto petrol subsidy will remain a large expense. Removing the subsidy (again) would help the fiscal position but add to inflation pressures. Finally, Kenya’s floods are wreaking havoc and past experience suggests GDP growth will slow. Inflation pressures may take longer to materialise but, on balance, the central bank’s hawkishness means that rate cuts could come later. 

Become a client to read more

This is premium content that requires an active Capital Economics subscription to view.

Already have an account?

You may already have access to this premium content as part of a paid subscription.

Sign in to read the content in full or get details of how you can access it

Register for free

Sign up for a free account to gain:

  • Unlock additional content
  • Register for Capital Economics events
  • Receive email updates and economist-curated newsletters
  • Request a free trial of our services

Get access