S. Africa’s private sector expands for 1st time since Nov. ’24

South Africa’s private sector returned to growth in May 2025, with the S&P Global PMI rising to 50.8 from 50.0 in April 2025 — its first move into expansionary territory since November 2024.

The improvement was led by the strongest rise in business activity in four years, supported by faster growth in new orders and a rebound in domestic demand. Firms also boosted input purchases and stock levels at the quickest rate in a year, while delivery times continued to improve amid better supply conditions.

Despite the recovery, employment fell as companies left some roles unfilled and backlogs rose. Meanwhile, easing input cost inflation allowed businesses to cut selling prices slightly for the second time in three months.

Confidence among South African firms strengthened in May, with expectations for rising client demand over the next 12 months.

Attribution: Amwal Al Ghad English
Subediting: M. S. Salama