PORTFOLIO AND SELECT COMMITTEES ON FINANCE March 2006

RECENT ECONOMIC DEVELOPMENTS International Economy

International oil price - monthly average

OECD leading indicator and industrial production

World economic outlook: Real GDP World5,1 4,3 4,3 Advanced economies 3,3 2,5 2,7 USA4,2 3,5 3,3 Japan2,7 2,0 2,0 Euro area 2,0 1,2 1,8 United Kingdom 3,2 1,9 2,2 Newly industrialised Asian economies*5,6 4,0 4,7 Emerging market and developing countries7,3 6,4 6,1 Africa 5,3 4,5 5,9 Central and eastern Eur.6,5 4,3 4,6 Developing Asia 8,2 7,8 7,2 Western hemisphere5,6 4,1 3,8 * Includes Hong Kong SAR, Korea, Singapore and Taiwan Province of China Source: IMF World Economic Outlook, September 2005 Annual percentage change in real GDP Actual Projections

World economic outlook: Consumer prices World 3,7 3,9 3,7 Advanced economies 2,0 2,2 2,0 USA 2,7 3,1 2,8 Japan0,0 -0,4 -0,1 Euro area2,1 2,1 1,8 United Kingdom 1,3 2,0 1,9 Newly industrialised Asian economies* 2,4 2,2 2,3 Emerging market and developing countries5,8 5,9 5,7 Africa 7,8 8,2 7,0 Central and eastern Eur.6,5 4,8 4,3 Developing Asia4,2 4,2 4,7 Western hemisphere 6,5 6,3 5,4 * Includes Hong Kong SAR, Korea, Singapore and Taiwan Province of China Source: IMF World Economic Outlook, September 2005 Annual percentage change in consumer prices Actual Projections

Key central bank interest rates Per cent Countries 1 January March 2006 Latest change (Percentage points) USA 2,25 4,50 31 Jan 2006 (+0,25) Japan 0,00 0,00 19 Mar 2001 (-0,15) Euro area 2,00 2,50 2 Mar 2006 (+0,25) United Kingdom 4,75 4,50 4 Aug 2005 (-0,25) Canada 2,50 3,75 7 Mar 2006 (+0,25) Denmark2,00 2,50 3 Mar 2006 (+0,25) Sweden 2,00 2,00 23 Feb 2006 (+0,25) Switzerland 0,25 – 1,25 0,50 – 1,50 15 Dec 2005 (+0,25) Australia 5,25 5,50 2 Mar 2005 (+0,25) New Zealand 6,50 7,25 8 Dec 2005 (+0,25) Israel 3,70 4,75 23 Jan 2006 (+0,25) China 5,58 5,58 29 Oct 2004 (+0,27) Hong Kong 3,75 6,00 1 Feb 2006 (+0,25) India 4,75 5,50 24 Jan 2006 (+0,25) Malaysia* 2,70 3,25 22 Feb 2006 (+0,25)

Key central bank interest rates Per cent Countries 1 January March 2006 Latest change (Percentage points) South Korea 3,25 4,00 9 Feb 2006 (+0,25) Taiwan 1,75 2,25 22 Dec 2005 (+0,125) Thailand 2,00 4,50 8 Mar 2006 (+0,25) Brazil 17,75 16,50 8 Mar 2006 (-0,75) Chile 2,25 4,75 9 Feb 2006 (+0,25) Mexico** 8,81 7,50 24 Feb 2006 (-0,25) Czech Republic 2,50 2,00 27 Oct 2005 (+0,25) Hungary 9,50 6,00 20 Sep 2005 (-0,25) Poland 6,50 4,00 28 Feb 2006 (-0,25) Russia 13,00 12,0026 Dec 2005 (-1,00) South Africa 7,50 7,0015 Apr 2005 (-0,50) * The central bank of Malaysia introduced a new interest rate framework on 23 April ** The Bank of Mexico has decided on a gradual transition toward a policy target regime, but retains the “el corto” until the transition is complete. Source: National central banks

USA: Real gross domestic product

USA: Unemployment rate

USA: Consumer prices and central bank interest rates

Japan: Real gross domestic product

Japan: Unemployment rate

Japan: Consumer prices

Euro area: Real gross domestic product

Euro area: Unemployment rate

Euro area: Consumer prices and central bank interest rate

UK: Real gross domestic product

UK: Unemployment

UK: Consumer prices and central bank interest rate

SADC: Inflation Annual percentage change in consumer prices Nov 2005 Dec 2005Jan 2005 Africa 7,8 * * * * Angola 43,6 23,2 19,0 18,5 17,2 Botswana6,6 8,6 11,3 11,4 16,6 Lesotho5,0 3,4 3,4 3,5 * Malawi 11,6 15,4 16,2 16,5 16,7 Madagascar 13,8 18,8 12,8 11,4 10,0 Mauritius 4,3 4,9 3,6 3,9 6,0 Mozambique12,6 7,2 9,6 14,0 11,5 Namibia 4,1 2,3 3,4 3,4 3,6 South Africa1,4 3,4 3,4 3,6 4,0 Swaziland 3,5 * 6,2 6,3 * Tanzania 4,3,4 4,8 5,0 5,4 Zambia 18,0 18,3 17,2 15,9 12,2 Zimbabwe350,0 266,8 502,4 585,8 613,2 * Not available Source: National central banks, unpublished Standard Bank data and IMF World Economic Outlook, September 2005

RECENT ECONOMIC DEVELOPMENTS National Economy

Real gross domestic product 6-year upswing

Real gross domestic product in the secondary sector

Real gross domestic expenditure

Real final consumption expenditure by households

Real disposable income of households

Household debt as percentage of disposable income of households

Real final consumption expenditure by general government

Real gross fixed capital formation

Real gross domestic final demand

Change in inventories

Gross saving as percentage of gross domestic product

Non-agricultural employment

SepMarSepMarSep SepMarSepMarSep (000’s) (000’s) (000’s) (000’s)(000’s) a. Total employment b. Total unemployed (official definition) c. Total economically active = a + b d. Total not economically active e. Total aged years = c + d f. Official unemployment rate = b * 100/c 28,0% 27,9% 26,2% 26,5%26,7% Source: Labour Force Survey by Statistics South Africa Labour market statistics, based on the labour force survey

Non-agricultural nominal remuneration per worker

Non-agricultural labour productivity

Non-agricultural nominal unit labour cost

Nominal unit labour cost in manufacturing

Headline inflation and CPIX

All-goods production prices

Balance of payments: Current account

Balance on financial account*

Financial account

Gross gold and other foreign reserves and international liquidity position of the South African Reserve Bank

Imports covered by reserves

Average net daily turnover in the South African foreign exchange market

Exchange rates of the rand

Growth in M3

Total loans and advances extended to private sector

Money-market interest rates

Yield on long-term government bonds

Yield curves

Turnover in the secondary share market

Share prices - all classes

Real-estate market

Non-financial public-sector borrowing requirement