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    BUSINESS BREAKFAST WITH FIRST NATIONAL BANK, ADDRESSED BY DR CEES BRUGGEMANS
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A very successful business breakfast was held in collaboration with First National Bank. Dr Cees Bruggemans, chief economist of FNB, was the main speaker.
Die BKHN het ‘n baie suksesvolle sake-ontbyt is gehou in samewerking met ENB en die spreker op die geleentheid was Dr Cees Bruggemans, hoofekonoom van ENB.

His message was that the South African economy is suffering pain at this point. Developed countries are avoiding risk and this is leaving developing countries vulnerable. On the positive side, it encourages investment in precious metals like gold and platinum - which is beneficial to South Africa - and a way for SA to benefit from the ailing economy in the USA.

Dr Bruggemans made the point that it took quite a long time for the oil price to move from zero to $100 per barrel. It will increase at a much quicker rate to $200 per barrel.

This will be a year in which the consumers will have to make strict adjustments. A year of high interest rates, inflation that will raise, slower growth and even more uncertainty.

It will get worse before it will get better and this can take some time. But the good news is, this down-turn is cyclical and will reach a turning point for the better and for the recovery of the economy. How long it will take is another matter.

Weekly articles from Dr Cees Bruggemans can be found on his webpage on the FNB website. Please visit www.fnb.co.za/economics