A woman uses a trolley as she shops at a grocery store in East London, in the Eastern Cape province, South Africa, July 7, 2022. REUTERS/Siphiwe Sibeko

JOHANNESBURG, June 11 (Reuters) – South African business confidence slipped for the second month in a row in May, dented by a decrease in tourist arrivals and merchandise imports in the leadup to last month’s election, data showed on Tuesday.

The South African Chamber of Commerce and Industry (SACCI) Business Confidence Index fell to 107.8 in May, down from 108.9 in April and 114.7 in March.

SACCI said the future course of business confidence would be largely determined by the makeup of the new government, after the African National Congress (ANC) lost its parliamentary majority for the first time since coming to power at the end of apartheid 30 years ago.

The ANC is talking to a broad spectrum of political parties about setting up a government of national unity.

“Political stability and policy certainty will be fundamental assurances that drive business and investor sentiment,” SACCI said in a statement.

(Reporting by Tannur Anders; Editing by Alexander Winning)