Consumer confidence in South Africa saw a revival in the three months to September but still sees itself in negative territory, according to a survey produced by the First National Bank (FNB).
The consumer confidence index was compiled by the Bureau for Economic Research and shows that consumer confidence was as low as -11 in the second quarter of this year, but in the following quarter recovered somewhat to -3. This is still below the long-term average of +4.
A number of factors over the last couple of years have put households around the world under significant economic duress, but South African consumers have had a particularly severe 24 months – even knocking consumer confidence to a near-record low of -14 in the last qua .....
Shockingly, many South Africans are unaware of the importance of a good credit profile, with some individuals having no clue what a credit profile even is. For those who are aware, they rarely find the time to check their own to make sure that everything is in order. In this day and age, many potential employers look at a credit profile report to establish an individual’s character and how responsible they are. So credit profiles are important, but what are they?
Credit related information about you such as credit applications, credit agreements held, payment history and behaviour (both positive and negative) is provided to the Credit Bureau who store this. This information held by the Bureau creates the credit profile which can be .....
The amount of unsecured credit being taken out in South Africa is increasing rapidly according to the National Credit Regulator (NCR). Recent figures have shown that South Africans taking out unsecured credit has increased by nearly 10% in the latest quarter results up to June 2016 amounting to R1.73 billion. This is a considerable quarterly leap in the amount of unsecured credit being provided to South Africans and shows the credit market is continuing its high levels of growth. The NCR have confirmed that year-on-year results have shown an increase of 18.1% in unsecured credit being taken amounting to almost R3.1bn.
As the unsecured credit market grows, the government is being forced to act to keep unsecured lenders in check. Mor .....
US based credit reference agency TransUnion has published data revealing that most consumers in South Africa are getting better at maintaining payments on their financial commitments. On the other hand, the same studies reveal an increase in the level of what the company terms as ‘distressed borrowing’ - which refers to the amount of revolving credit being taken out on credit cards and store cards.
TransUnion’s Consumer Credit Index monitors the percentage of accounts in default in South Africa, and the level of utilisation of revolving credit.
Defaults were increasing at high levels early in 2013, steadily decreased in 2014 and 2015, and in 2016 have been relatively constant. This is most likely due to two main factors – .....
2015 saw the least rainfall in South Africa since records began in 1904 and this in turn has had an impact on the economy as a whole. The drought has damaged crops in terms of quantity and quality produced and has meant that the continents biggest producer of corn has had to import the grain to keep supplies up. The marketing year ending April 29 saw the import of 1.96m metric tons of corn into South Africa while exports stood at a meagre 683,523 tons, the import numbers were at their largest since 1993.
With great demand and less to go around prices of the domestic crop have increased and that which is shipped in is more expensive as shipping costs need to be taken into account. The imports will need to continue into this year to .....