MultiNET Home Loans | October 2025

South Africa’s annual inflation rate edged up slightly to 3.4% in September 2025, from 3.3% in August—remaining comfortably within the South African Reserve Bank’s (SARB) target band of 3% to 6%. The figure came in just below market expectations of 3.5%, reinforcing confidence that price pressures remain contained.

The modest increase was driven mainly by housing and utilities (4.5%)—reflecting higher electricity, gas, and water costs—while restaurants, hotels, and miscellaneous goods saw mild upticks. Encouragingly, food inflation eased to 4.5%, its lowest pace in five months, signalling improved stability in household costs.

Transport costs also fell less sharply, with fuel prices moderating, while core inflation—excluding food and energy—rose only marginally to 3.2%, still well below mid-range targets.

With overall inflation steady and economic growth showing tentative recovery signs, analysts suggest the SARB may have scope to begin cautiously easing rates in coming months. A rate cut could provide welcome relief to consumers and businesses alike, stimulating spending and investment as South Africa heads into 2026.

As inflation expectations remain anchored, the economic outlook appears increasingly favourable for a measured shift toward lower borrowing costs—a move that could bolster confidence and accelerate momentum across key sectors of the economy.

“Lower and stable inflation creates real opportunities for growth and consumer relief,” said Shaun Rademeyer, CEO of MultiNET Home Loans. “If we see a gradual reduction in lending rates, it could unlock much-needed confidence in the housing market and support broader economic activity.”

As economic conditions begin to stabilise and borrowing costs trend lower, MultiNET Home Loans continues to stand alongside South Africans at every stage of their homeownership journey. Whether purchasing your first home or expanding an investment portfolio, MultiNET remains committed to providing expert guidance, tailored solutions, and trusted support to help clients make confident financial decisions in a changing market.

For more information visit www.multinet.co.za