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Shoppers line up to enter Greenacres shopping mall in Gqeberha, Eastern Cape, in this file photo. Picture: THE HERALD/EUGENE COETZEE
Shoppers line up to enter Greenacres shopping mall in Gqeberha, Eastern Cape, in this file photo. Picture: THE HERALD/EUGENE COETZEE

Results of a new study on the mood and pressure faced by consumers in SA is the focus in this edition of Business Day Spotlight. 

Host Mudiwa Gavaza is joined by Mamello Matikinca-Ngwenya, FNB’s chief economist, to discuss the results of their consumer confidence index (CCI), undertaken in collaboration with the Bureau for Economic Research.

In the first part of the discussion, Matikinca-Ngwenya explains how the CCI, which gauges the mood of SA consumers, is determined.

Despite a large drop in coronavirus infections and a welcome easing of Covid-19 regulations since December, the CCI declined from -9 to -13 index points during the first quarter of 2022. Matikinca-Ngwenya says this is the same as the low level that was last recorded in the second quarter of 2021.

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She explains that the slump can be ascribed to marked declines in the economic outlook and household financial positions, among a host of factors. 

The FNB economist says there is room for both public- and private-sector players to share in the collective responsibility of easing the financial burden currently faced by ordinary South Africans. 

Topics of discussion include how the CCI is determined; results and findings of the latest study; the effect of current geo-political issues such as the Russia-Ukraine conflict on consumer confidence; pressures on different income groups in SA; ways in which the government and private-sector players can help ease the pressure on consumers and an outlook for the rest of the year. 

Engage on Twitter at #BDSpotlight

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 Business Day Spotlight is a MultimediaLIVE production.

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