Johannesburg - Gauteng has the highest consumer debt per
capita of all nine provinces, the SA Institute of Race Relations said on
The country’s economic capital also accounted for almost
half of consumer debt held in South Africa, according to a survey conducted by
The average individual in Gauteng owed R4 260.
Forms of debt included mortgage agreements, secured credit,
unsecured credit, credit facilities, and short-term credit transactions.
Georgina Alexander, researcher at SAIRR, said Gauteng had
the highest annual average household income in the country.
She said higher income earners were able to borrow money
more easily as they had assets or income against which they could borrow.
“On the other hand, low income earners are less likely to
have assets or a large enough income against which they can borrow money.
“So part of the reason for the high per capita debt in
Gauteng may be the higher incomes in the province,” Alexander said.
The Western Cape accounted for 14% of the total debt owed in
South Africa and had the second highest debt per capita at R2 700 per person.
The province with the lowest per capita debt was Limpopo,
which accounted for four percent of the total debt owed in South Africa, with
R750 per capita.
The data obtained from the National Credit Regulator also
revealed that total consumer debt in South Africa increased from R85bn in 2011
to R104bn in 2012.
Average per capita debt in South Africa was R2 050,
representing the average amount each person owed.