The FNB House Price Index growth averaged 0.8% y/y in December, marginally higher than the 0.7% in November (revised from 0.5%), and a low of 0.5% in October.
Description: In 2Q24, South Africa’s credit market exhibited a mixed performance, reflecting both growth and challenges for consumers. The total value of new credit granted increased by 5.5% q/q, reaching R139.8 billion. However, this was a 1.6% decline compared to the same period in 2023. While this growth suggests resilient borrowing demand, a high rejection rate of 68.03% indicates stricter lending standards due to economic uncertainty. In this piece, we analyse the latest National Credit Regulator data.
It has been a year since the most recent tension between Israel and Palestine broke out. Contrary to what many would have hoped, tensions have flared up and risks of further escalation are material. Israel has not been battling Hamas alone but Hezbollah and the Houthis as well. On occasion, Iran has directly entered the arena and the world now awaits Israel’s response to the latest Iranian missile attack. Fears are that it could target Iran’s oil infrastructure, removing nearly 2 million barrels per day (mbpd) from global oil supply. There is a likelihood that spare capacity from OPEC countries, predominantly Saudi Arabia, would easily be able to bridge the gap. However, the greater worry is, what if they were also affected?
The South African economy is experiencing a modest recovery following lacklustre post-pandemic growth of 0.7% in 2023. This slow growth largely reflected the severe impact of record levels of electricity load-shedding and the cost-of-living crisis. The South African Reserve Bank (SARB) estimated that load-shedding reduced GDP growth by 1.5 percentage points (ppts) in 2023. However, this drag is expected to be minimal in 2024 at just -0.13ppts, with no further impact projected for 2025 and 2026.
After troughing at 2.1% y/y in May 2020, due to a lockdown-driven fall in demand and statistical imputations, headline inflation accelerated to 5.2% y/y in May of 2021. CPI weights are typically updated at least every five years, in line with international standards. New weights will be introduced with the January 2022 data and the base year will change to December 2020.
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Cape Town Sub-Regional House Prices
Cape Town Sub-Regional House Prices
Gauteng Sub-Regional House Prices
