The South African Reserve Bank says the local economy showed signs of improvement in March 2026, according to the latest composite leading business cycle indicator (BCI).
The Reserve Bank’s March BCI recorded a 2.4% increase on a month-on-month basis, suggesting positive momentum in economic activity.
The leading business cycle indicator is used to provide early signals on the likely direction of real economic activity in the country.
According to the Reserve Bank, gains in six of the seven available component indicators outweighed a decline linked to economic conditions among South Africa’s major trading partners.
The strongest positive contributions came from an acceleration in the six-month smoothed growth rate of the real M1 money supply, as well as a widening of the interest rate spread.
Economists often use the indicator to assess future trends in business conditions and broader economic performance in South Africa.