in the final stages. We’ve responded to the government’s suggestions. We are awaiting the government’s response
GDP GROWTH: The decline in the GDP growth rate
became more broad based, with consumption demand also slowing alongside stalling investment and declining exports
THE BIG RISK: The widening of the current account deficit to historically high levels, especially in the context of a large fiscal deficit and slowing growth, exposes the economy to the twin deficit risk
WHAT ECONOMY NEEDS: What the economy needs most of all and most urgently is new investment. This will step up currently flagging aggregate demand and also ease the supply constraints so that existing capacity is fully utilised and new capacity is built up.