South Africa's inflation rate dropped sharply in October to its lowest level since the peak of the COVID pandemic, data showed on Wednesday, buttressing expectations for another interest rate cut by the central bank this week.

This will ensure that earnings beat inflation, meaning that South Africans should get richer. In Q4, 65% of respondents reported being able to pay their bills in full, which is a six-percentage point YoY increase. Gen Z and Millennials lead the trend at 68% and 66%, respectively.

South Africa’s consumer food price inflation decelerated significantly to 2.8% in October, the lowest level recorded in more than five years, signalling a possible respite for households burdened by rising costs.