{"id":738683,"date":"2023-12-14T11:22:22","date_gmt":"2023-12-14T09:22:22","guid":{"rendered":"https:\/\/businesstech.co.za\/news\/?p=738683"},"modified":"2023-12-14T11:24:25","modified_gmt":"2023-12-14T09:24:25","slug":"more-price-pain-expected-for-south-africans-in-2024","status":"publish","type":"post","link":"https:\/\/businesstech.co.za\/news\/finance\/738683\/more-price-pain-expected-for-south-africans-in-2024\/","title":{"rendered":"More price pain expected for South Africans in 2024"},"content":{"rendered":"\n<p>South Africans are expecting increased prices in 2024 despite a recent decline in headline inflation in the country. <\/p>\n\n\n\n<p>Stats SA reported this week that headline CPI eased to 5.5% in November from 5.9% in October, with declines in fuel and transport costs primarily causing the overall drop. <\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-wp-embed is-provider-businesstech wp-block-embed-businesstech\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"wp-embedded-content\" data-secret=\"u2sIc9xl0Z\"><a href=\"https:\/\/businesstech.co.za\/news\/energy\/738605\/here-is-the-expected-petrol-price-for-january-3\/\">Here is the expected petrol price for January<\/a><\/blockquote><iframe loading=\"lazy\" class=\"wp-embedded-content\" sandbox=\"allow-scripts\" security=\"restricted\" style=\"position: absolute; clip: rect(1px, 1px, 1px, 1px);\" title=\"&#8220;Here is the expected petrol price for January&#8221; &#8212; BusinessTech\" src=\"https:\/\/businesstech.co.za\/news\/energy\/738605\/here-is-the-expected-petrol-price-for-january-3\/embed\/#?secret=BeOkatFTHq#?secret=u2sIc9xl0Z\" data-secret=\"u2sIc9xl0Z\" width=\"500\" height=\"282\" frameborder=\"0\" marginwidth=\"0\" marginheight=\"0\" scrolling=\"no\"><\/iframe>\n<\/div><\/figure>\n\n\n\n<p>However, after declining in Q3 2023, analysts, business people and trade unions have increased their headline inflation expectations for the next two years. <\/p>\n\n\n\n<p>As per the Bureau for Economic Research&#8217;s (BER&#8217;s) latest Inflation Expectations Survey for Q4 2023, respondents continued to believe that inflation in 2023 will stand at 6.1%.<\/p>\n\n\n\n<p>But they now also expect inflation to take longer to ease over the long term, reaching 5.7% in 2024 and 5.6% in 2025 (up from previous forecasts of 5.5% and 5.3%, respectively). <\/p>\n\n\n\n<p>&#8220;This upward revision was driven by business people and trade unionists increasing their forecasts; analysts held their forecast virtually unchanged over the forecast horizon,&#8221; the BER said. <\/p>\n\n\n\n<p>&#8220;These revisions were done against the background of headline inflation accelerating from 4.7% in July (as reported during the third quarter survey) to 5.9% in October (reported during the fourth quarter survey).&#8221;<\/p>\n\n\n\n<p>The forecast of five-year inflation expectations also increased from 5.1% to 5.2%, primarily driven by trade unions increasing their forecast, whilst analysts did so marginally. <\/p>\n\n\n\n<p>The expectations from households stand out significantly from other respondents.<\/p>\n\n\n\n<p>The one-year-ahead inflation expectations of households increased from 7.0% in Q3 to 7.2%, whilst <strong>the five-year forecast increased from 9.8% to 10.2%<\/strong>. <\/p>\n\n\n\n<p>Despite the expected inflation increases, there was no significant change to the economic growth outlook for 2023 and 2024.<\/p>\n\n\n\n<p>Survey respondents expect GDP to grow by 0.9% in 2023 and 1.3% in 2024 and then grow by 1.3% in 2023 (compared to 0.8% and 1.4% before).<\/p>\n\n\n<div class=\"wp-block-image\">\n<figure class=\"aligncenter size-large\"><a  data-lightbox=\"post-image\" href=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion-.jpg\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"271\" src=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion--1024x271.jpg\" alt=\"\" class=\"wp-image-738687\" srcset=\"https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion--1024x271.jpg 1024w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion--300x79.jpg 300w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion--768x203.jpg 768w, https:\/\/businesstech.co.za\/news\/wp-content\/uploads\/2023\/12\/BER-infaltion-.jpg 1249w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/a><figcaption class=\"wp-element-caption\">Source: BER<\/figcaption><\/figure><\/div>\n\n\n<p>The three social groups agreed that salaries and wages will increase by roughly 5% in 2023 and 2024. <\/p>\n\n\n\n<p>&#8220;This is slightly lower for next year (5.1%) compared to what was expected before (5.4%),&#8221; the BER said. <\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<p><strong>Read<\/strong>: <a href=\"https:\/\/businesstech.co.za\/news\/finance\/736639\/alarm-bells-for-south-africans-earning-more-than-r20000-a-month\/\" target=\"_blank\" rel=\"noreferrer noopener\">Alarm bells for South Africans earning more than R20,000 a month<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Inflation may have dropped in November 2023 &#8211; but experts believe that there are still problems ahead. <\/p>\n","protected":false},"author":95,"featured_media":700161,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11121],"tags":[14829,26],"class_list":["post-738683","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance","tag-ber","tag-headline"],"_links":{"self":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/738683","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/users\/95"}],"replies":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/comments?post=738683"}],"version-history":[{"count":8,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/738683\/revisions"}],"predecessor-version":[{"id":738721,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/posts\/738683\/revisions\/738721"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media\/700161"}],"wp:attachment":[{"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/media?parent=738683"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/categories?post=738683"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/businesstech.co.za\/news\/wp-json\/wp\/v2\/tags?post=738683"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}