Growth in the value of outstanding credit balances in the South African household sector, which amounted to R1 610,2 billion at the end of October this year, remained on a gradual rising trend from 3,7% year-on-year at end-January to 5,2% year-on-year at end-October this year. While growth in household secured credit balances was on a slight upward trend up to October, it was the component of unsecured credit balances that showed a noticeable rising trend in growth over the 10-month period.
Growth in outstanding household mortgage balances (R953,4 billion, with a share of 77,6% in total household secured credit balances and 68,2% in total private sector mortgage balances) was steady at 3,8% year-on-year up to end-October from 3,7% year-on-year at end-August and 3,9% year-on-year at end-September.
Household credit and mortgage balances growth is expected to remain round current levels up to year-end and into next year, driven by trends in the economy, household finances and consumer confidence.
Read more here: Absa – Credit and Mortgage Advances – October 2018