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The RMB/BER Business Confidence Index (BCI) essentially flatlined at 34 in the fourth quarter. While this is an improvement on the seven and a half-year low of 29 in the second quarter, sentiment clearly remained depressed.
South African consumers are finding it increasingly difficult to earn a sufficient income, buy food, pay the bills, save some money and repay debt. This is evident from the latest Momentum/Unisa Consumer Financial Vulnerability Index (CFVI), which shows that an already tough situation worsened even further in the third quarter of 2017 (Q3 2017).
Although various reports released during 2016 and 2017 have shown that South African households are under pressure, the Momentum / Unisa Household Financial Wellness Index 2016 published by Momentum and the University of South Africa (UNISA), showed that on average the Financial Wellness among the population has improved over the past six years.
What do you believe will be the biggest challenge when the COFI framework is finally implemented?