SA’s most quoted economist visits NIC

The Northcliff Investor’s Club met for the first forum of the new year on 28 January at the Benvenuto Conference Centre and Hotel in Kelland.

As co-founder of the forum Pierre de Bruyn announced, the forum attempts to create discourse around the economy to help community members make informed investment decisions. De Bruyn said that there were at least four major occurrences affecting finance since their last meeting; they are the Johannesburg Stock Exchange (JSE) reaching record highs, the rand sliding at an alarming rate, interesting developments in the political sphere and the death of former president Nelson Mandela.

Introduced as “South Africa’s most quoted source”, economist Mike Schüssler was guest speaker presenting on ‘The South African economy: the next two years in the slow lane’.

Though Schüssler expects the next few years to see slow growth, he was quick to report that emerging markets (as a collective) are growing faster than developed economies.

“On the positive side, we are living in the second fastest growing region in the world,” he said. “GDP has picked up, there is a shift in consumption where people can buy more things, education is becoming more available and the quality is improving.”

The problems for the country now lies in the fact that it cannot or doesn’t not produce enough to fill its own domestic and its export needs. The production sector is hit hardest because of electricity (and other utility) shortages, skill shortages, government policy and corruption.

“In the whole process, the risk is going to be with the rand. This is going to be a tough period but after the next few years things will be on the rise.”

Details: Pierre De Bruyn 079 498 8693, Tommy Ferreira 083 307 5903, or email invitations@northcliffinvestors.co.za