JOHANNESBURG - South Africa's business confidence recovery has hit a speed bump.
After two consecutive quarters of improvement, it dropped eight points in the second quarter of 2026.
This puts the RMB/BER Business Confidence Index at 39 out of a possible 100 points. The escalating war in the Middle East is the main reason for the dip in confidence.
This has pushed up oil prices which has caused inflation to creep upwards.
In South Africa, this has seen an interest rate hike with further hikes possible. The biggest declines in confidence came from vehicle dealers, wholesalers and retailers.
They are concerned about consumers having less money to spend. The one bright spot was manufacturing.
It edged slightly higher but overall the mood is more cautious.