Build One South Africa welcomes the latest decline in inflation but South Africans should be careful not to interpret a lower inflation rate as an end to the cost-of-living crisis.
Lower inflation means that prices are increasing at a slower pace.
It does not mean that the cost of food, electricity, transport, housing and other essentials have returned to levels that households can comfortably afford. For many families, household budgets remain under severe pressure.
The combination of high living costs, unemployment and stagnant incomes means that millions of South Africans continue to make difficult choices about which necessities they can afford.
This is why government should look beyond headline inflation and focus more directly on household affordability and economic security.
The country needs policies that stimulate sustainable job creation, support small businesses, reduce the cost of essential services and improve the efficiency of municipalities. We also need greater competition in sectors where consumers face persistently high costs.
Economic indicators matter but they must translate into improved living conditions.
South Africans deserve an economy in which growth creates opportunity and where the benefits of economic stability are felt beyond the statistics.
Falling inflation is a welcome development. But affordability must remain at the centre of the economic policy debate.
Tsepo Winston Mhlongo
- Build One South Africa welcomes the latest decline in inflation but South Africans should be careful not to interpret a lower inflation rate as an end to the cost-of-living crisis.
- Lower inflation means that prices are increasing at a slower pace.
- It does not mean that the cost of food, electricity, transport, housing and other essentials have returned to levels that households can comfortably afford.
- For many families, household budgets remain under severe pressure.
- The combination of high living costs, unemployment and stagnant incomes means that millions of South Africans continue to make difficult choices about which necessities they can afford.
