We're all poorer in past year

WEAK PERFORMANCE: ECONOMY STRUGGLES TO GAIN MOMENTUM WITH RISING COSTS AHEAD

- Ina Opperman

Economic activity in South Africa is struggling to gain momentum, according to data on electronic transactions for February. The BankservAfrica Economic Transactions Index (Beti), which measures the value of all electronic transactions cleared through BankservAfrica monthly at seasonally adjusted real prices, slipped further in February, reflecting South Africa's weaker economic performance.

"The Beti moderated further in February to 136.4, down 0.6% from January's 137.2, returning to September levels, but still 3.1% higher year-on-year," said Shergeran Naidoo, BankservAfrica's head of stakeholder engagements.

He said Bankserv Africa's monthly data shows that the Beti has been struggling to gain momentum since May 2024, reflecting South Africa's weak economic performance in 2024 and early 2025.

Economic growth reached just 0.6% in 2024, slightly below 2023's 0.7% and well below initial expectations.

Independent economist Elize Kruger said in addition, SA's population growth exceeds this mediocre growth rate by some margin, resulting in a further slip in the gross domestic product per capita measure.

"This suggests that all South Africans have become poorer in relative terms during the past year."