Nigeria and South Africa exit recession
The second quarter of 2017 saw two regional economic powers come out of recession. Nigeria’s GDP rose by +0.55% y/y as relaxed capital controls and reforms helped close the gap between official and non-official exchange rates. This eased financing constraints. South Africa expanded by +0.6% q/q. The primary sector led the recovery. Manufacturing also returned to growth (+0.4% q/q) Inflation was down to +4.6% y/y in July. The South African Central Bank eased its policy rate by -25bp in July.