Macro Review

These monthly reports provide in-depth assessments of the trends shaping specific current social, economic, and political risks in South Africa. The Macro Review is supplemented by a monthly lunchtime seminar at the CRA’s headquarters in Johannesburg.
The South African Consumer Under Lockdown

The South African Consumer Under Lockdown

This month’s edition, entitled The South African Consumer Under Lockdown, presents data on the effect of the extended national lockdown on consumer trends in the economy. The report reveals that rising unemployment and slow economic activity have taken their toll, resulting in increased indebtedness and reduced discretionary spending.
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Key takeaways:

  • Consumer expenditure is a key driver of South Arica’s economy.
  • Consumer confidence dropped to a record low in June 2020.
  • South Africans are highly indebted and struggling to service their debt.
  • Credit granted has dipped since February, a reflection of the diminished ability to borrow and heightened consumer cautiousness.
  • Online purchases have surged since the beginning of the national lockdown.