The discretionary spending power of consumers is slowly returning as inflation slows and the rand strengthens. This was evident among Mastercard users in the country whose spending habits resulted in greater sales volumes than each of the five previous January periods. According to the Mastercard SpendingPulse January 2018 report, which provides a macroeconomic analysis of retail spending trends in SA, not only was it a record period, but consumer spending for January climbed 3.8%. This spending was the same pace of growth the retail industry had witnessed during the December peak season. Senior vice-president and group head of market insights for Mastercard Sarah Quinlan attributed the January sales growth to a moderation in inflation, a stronger rand and some recovery in industries such as agriculture as production recovers from the severe drought. The SpendingPulse report said that including the effects of inflation, retail sales for January 2018 grew 7.3% year on year. Inflation...

Subscribe now to unlock this article.

Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).

There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.

Cancel anytime.

Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.