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Consumer debt hits new record

Jun 21 2007 12:45

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Pretoria - Consumer debt in South Africa climbed ever-higher in the first quarter of the year, the South African Reserve Bank said on Thursday.

According to the Bank's quarterly bulletin, consumer indebtedness increased to a record 76% of disposable income in the first three months of this year from 73.75% in Q4 2006.

Meanwhile, household spending slowed slightly to 7.5%. It eased from 7.75% year-on-year in the fourth quarter of 2006.

The central bank also said gross fixed capital formation jumped to 21.75% from 16.5%, while the ratio of gross savings increased to 14.75% of gross domestic product.

 
 
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