South African economy grew 1.9pc last year

JOHANNESBURG, Feb 25 (AFP): Africa's largest economy grew 1.9 per cent last year, a significant slowdown from 2012, Statistics South Africa said Tuesday.

A 3.8 per cent jump in fourth quarter gross domestic product was not enough for the country's strike and unemployment-hit economy to improve on the lacklustre 2.5 per cent growth seen in 2012.

Economists believe South Africa needs to grow at around five per cent a year to bring down unemployment which remains stuck at around 25 per cent and which has fuelled daily protests across the country.

Tuesday's data tells a story of a year of troubles for the country, particularly in the vast mining sector, which contributed just 0.2 points to GDP growth during the year.

The quick pace of growth in the relatively strike-free fourth quarter was largely thanks to a rebound from a low third quarter growth rate of 0.7 per cent.

That rebound is expected to be short-lived.

A near five-week strike has halted production in the platinum sector this year, with no end in sight.