S Africa sees surprise sharp downturn

Afp, Johannesburg

South Africa's economy contracted by 1.2 percent at the start of the year in a surprise sharp downturn for Africa's most industrialised nation, official statistics showed Wednesday.

The country has been struggling with record unemployment, drought and political scandals, but most economists had forecast only a marginal contraction.

"GDP growth rate was -1.2 percent in the first quarter of 2016," Statistics South Africa said in a statement.

"The main contributors to the negative GDP growth rate were the mining and quarrying industry and the transport, storage and communication industry."

GDP dipped by 0.2 percent on a year-on-year basis, as South Africa teeters on the brink of its first recession since 2009.