Consumers have shown confidence that there will be a turn around in the economy in the next 12 months, the Consumer confidence index shows that the amount of spending and saving in the country has not changed but has increased.
Confidence across the different household income groups varied notably. The gauge reflecting high income earners’ confidence levels remained stable, gaining 1 point, while the level of confidence amongst middle income consumers dipped markedly, falling to 17, from 26 in Q1.18. Low income earners (earning less than R3000 per month).
According to the BER however, “(w)hile the change in South Africa’s political leadership in December 2017 and the ensuing positive ripple effects have duly created great optimism, there is currently a large disconnect between consumers’ sky-high expectations for domestic economic growth and the actual performance of the South African economy”
Read More.Consumer Confidence_Q2 18 (1)