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Building Contractors: Business Confidence

The building business confidence remained high in the province, rising significantly in
the first half of the year from 44 index points on the 31st of December 2015 to 59 index
points in June 2016, signifying an expected increase in building activity. More significant
is the fact that the confidence is above 50 index points, which suggests that sentiments
are positive for the sector.

Figure 50 below traces the changes in this sector:

Figure 50 Building Contractors - Business Confidence, Mar 2011 – Jun 2016

Source: BER PROVINCIAL OUTLOOK NATIONAL OUTLOOK GLOBAL OUTLOOK GAP HOUSING INVESTOR NARRATIVE SPOT THE OPPORTUNITY PORTFOLIO INSIGHTS KHULISA NEWSLETTER ELECTRIC VEHICLES ENERGY SECURITY LOOKING AT GDP

Labour Market
The rate of unemployment in South Africa increased to a record high level post the
2008/09 financial crisis period, settling at 26.7% in 2016Q1.

The province, whilst consistently lower than national, has not been spared from this
trend. Figure 51 below shows the trend of unemployment rates since 2014Q4:

Figure 51 Unemployment Trends 2014Q4 – 2016Q1

Source: Statistics SA QLFS

QUARTERLY ECONOMIC BULLETIN 2016 89