South Africa’s private sector expanded at its fastest pace in nearly four years in April, as sales and output rose amid supply concerns linked to the Iran war, a business survey showed on Wednesday.
The S&P Global South Africa Purchasing Managers’ Index rose to 51.6 in April from 50.8 in March. The 50-mark separates growth from contraction.
“Some comments from survey panellists suggested that the rise was helped by safety stock building as companies anticipated increased headwinds from the Middle East conflict, implying that the uplift in growth may be temporary,” said David Owen, senior economist at S&P Global Market Intelligence.
Output growth quickened to an 11-month high, extending the current expansion to four months. New orders rose for the first time in three months, and the increase was the strongest in just over one-and-a-half years.
Export sales also picked up at the fastest pace since July 2023, helped by new client wins and stronger demand from markets including Zambia and the Democratic Republic of the Congo, S&P Global said.
However, cost pressures intensified sharply mainly due to a weaker rand currency and higher international oil prices. South Africa is a net importer of petroleum products and is heavily exposed to fluctuations in global energy prices. Supplier delivery times lengthened, as freight schedules were disrupted by the war.
Strong pipelines
Business expectations improved for the first time in five months, supported by strong sales pipelines, new product launches and export opportunities.
Read: Why 2G will outlast 3G in South Africa
But firms remained cautious due to rising inflation pressures and wider geopolitical tensions, the survey said. — (c) 2026 Reuters
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