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South Africa Economic Activity Bounces Back Strongly From Floods

  • Transactions index rose to 143.5 in May from 137.6 in April
  • Gauge signals continuation of strong first-quarter growth
Downtown Cape Town, South Africa. 

Downtown Cape Town, South Africa. 

Photographer: Dwayne Senior/Bloomberg

A gauge measuring South African economic activity bounced back strongly in May after the worst flooding in almost three decades left more than 400 people dead, damaged businesses and halted operations at the country’s biggest port the previous month. 

The BankservAfrica Economic Transactions Index, which monitors interbank payments, rose to 143.5 in May from a revised 137.6 in April. That suggests a robust recovery of Africa’s most-industrialized economy, which was devastated by the Covid-19 pandemic.