FX.co ★ South Africa Private Sector Remains in Contraction in October

The S&P Global South Africa PMI was unchanged at 49.0 in October 2026, remaining below the neutral 50.0 mark for a second straight month and indicating ongoing weakness in private sector activity. Output contracted at its fastest rate since December 2025, as subdued demand, higher fuel prices, and transport disruptions continued to weigh on business operations. New orders declined again, though at a slower pace than in September, while export demand weakened for the first time since May. Employment fell for the third consecutive month, marking the sharpest drop in six years. At the same time, rising fuel costs pushed purchasing price inflation to a four-month high, and selling prices rose at their fastest rate in four months. Supply chain delays remained in place, although delivery times showed slight improvement. Looking ahead, business confidence deteriorated markedly, with expectations sinking to their lowest level since August 2020 amid heightened economic and geopolitical uncertainty.