Consumer sentiment rebounds to highest level of 2025, signalling stronger festive spending

SOUTH African consumer confidence improved notably in the fourth quarter of 2025, offering a welcome boost to retailers ahead of the festive season.

- YOGASHEN PILLAY

The latest FNB/Bureau for Economic Research (BER) Consumer Confidence Index (CCI), released on Tuesday, shows the index rising from -13 in the third quarter to -9, marking the strongest reading of the year.

Although still below the long-term average of -1 and slightly lower than the 2024 festive-season level of -6, the CCI report says the latest uptick is meaningful.

It follows robust retail activity earlier in the year, with sales volumes growing by an average 3.9% year-on-year during the first three quarters of 2025. The BER noted that the improvement suggests consumers’ willingness to spend has extended into the holiday period.

The biggest driver of the recovery was the sub-index measuring whether it is an appropriate time to buy durable goods, such as vehicles, furniture and electronics, which climbed from -20 to -14, its best performance since the second quarter of 2019.