Business confidence recovers from 23-year low in January

February 4, 2016 9:47 AM

"The financial climate was slightly more favourable towards business than in December as the volume of credit extension to the private sector picked up," the South African Chamber of Commerce and Industry said in a statement.

People chat in front of an electronic board displaying movements in major indices at the Johannesburg Stock Exchange building in Sandton Johannesburg July 9, 2015. REUTERS/Siphiwe Sibeko

South Africa's business confidence index recovered in January from its lowest level in 23 years after an increase in credit to the private sector but could come under pressure from a slowing economy, a survey showed on Thursday.

The Business Confidence Index (BCI) rose marginally to 80 from 79.6 in December.

The SACCI however said decisive steps should be taken to counter the present difficulties facing South Africa's economy.

The central bank and the International Monetary Fund revised Africa's most advanced economy's growth to 0.9 percent and 0.7 percent in 2016 respectively as uncertainty over policy, gaps in infrastructure and drought weigh on the economy.