Retail sales to remain in doldrums

Retail sales in South Africa are likely to remain in the doldrums in the months to come given a generally challenging economic and financial environment, says Standard Bank group economics in a research note today. They expect growth in real retail sales to have recovered slightly to around -3% year-on-year (y/y) in September from the very steep decline of -5.5% y/y in August. "Economic growth has slowed down considerably, interest rates remain high, household debt levels are at record high levels, and inflation is eroding households' spending ability," note the economists. The data is due on 12 November.