Salaries in SA on the rise … with more GOOD news to come
Better still, South Africans' disposable income in general has improved, following three months' of moderation. The latter is thanks, in part, to lower inflation rates and declining interest rates. As such, BankservAfrica says average take-home pay in June 2025 increased to R17 310. This figure is notably up on 2024's equivalent figure. You can give the stokvel a rest, as salaries in SA show encouraging improvement. Image: File
Impressively, average salaries in SA of R17 310, are some R1 800 higher per month than they were at the same time last year (R15 514), reports BusinessTech . BankservAfrica says a moderation in consumer inflation (CPI) has also had a positive impact on the purchasing power of South African consumers.
In fact, the past year has been the best since 2015, with salaries in SA increasing by 1.5%. Better still, further indicators suggest that the average salary increase could crest 5% by the end of 2025. Furthermore, the SA Reserve Bank (SARB) says a favourable inflation environment may also create further room to cut interest rates. All goods things for struggling South Africans. Earn more, spend more, this is the secret sauce the SA Reserve Bank (SARB) hopes will boost the economy. Image: File
Improved salaries in SA in 2025 are providing relief to indebted consumers and boosting the economy, too. Indicators from Stats SA show that retail sales have improved in the first five months of the year, by 4.3%. However, economists stress that the year is still potentially vulnerable from a geopolitical, global trade, and tariff war point of view.
Uncertainty between the United States and South Africa over the tariff landscape from today, Friday 1 August 2025, represents a growing concern for the economy's trade outlook. It is therefore of utmost importance that government prioritises diplomatic engagement with the US. Doing so could avert potential job losses in the automotive and agriculture sectors.
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