Key media insights for November 2025:
- Grey list exit boosts investor confidence: South Africa has officially exited the Financial Action Task Force grey list after 30 months of reform, restoring credibility to its financial systems and improving the outlook for foreign investment.
- EU pledges €12 billion investment: The European Union and several development finance institutions have announced an investment package for South Africa focused on energy transition and sustainable infrastructure.
- Bond yields decline sharply: The 10-year bond yield has dropped by 225 basis points since April, reflecting improving investor sentiment and expectations of a more accommodative monetary policy stance.
- Credit rating upgrade speculation grows: S&P Global has maintained a positive outlook for South Africa’s local currency debt, with analysts anticipating a possible upgrade supported by reform progress and fiscal improvements.
- Banking sector health improving: The ratio of bank impairments to total assets continues to decline, signalling healthier balance sheets and greater lending capacity.
- Wholesale and manufacturing rebound: Manufacturing sales reached nearly R300 billion in August, the highest since late 2023, while wholesale sales are forecast to hit R1 trillion in Q4 2025, confirming renewed business activity.
- Home loan activity up 30% since late 2023: The BetterBond index shows sustained improvement, with total applications now 30% higher than their 2023 low and 3.2% above the Q3 average, the strongest since Q3 2022.
- First-time buyers drive growth: Loans granted to first-time buyers are up 17.4% year-on-year, while deposits have dropped 21% over the same period – a sign of improving affordability and more flexible lending.
- Home prices hold steady: The average home purchase price remains stable at R1.6 million, with first-time buyers averaging R1.27 million. In real terms, prices have declined 2.1% since Q2 2023, making conditions more favourable for buyers.
- Affordability improves with income growth: Homebuyer incomes, particularly among those aged 41 to 50, have risen 22% in two years, reinforcing affordability in a stabilising interest rate environment.
