Inflation expected to be 3.9% during 2025, then rise gradually to 4.3% in 2026.
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We unpack the latest findings from the Bureau for Economic Research’s (BER) quarterly Inflation Expectations Survey with Nicolaas van der Wath, Senior Economist at the BER. For the first time in over four years, inflation expectations for the current year have dropped below 4%, with headline consumer inflation now projected at 3.9%.
From households to businesses, trade unions and analysts – expectations have declined across all social groups. But what’s behind this sharp drop? Why are inflation views cooling while wage increase forecasts are climbing? And what does this all signal for interest rates, economic growth, and the Reserve Bank's next move?
From households to businesses, trade unions and analysts – expectations have declined across all social groups. But what’s behind this sharp drop? Why are inflation views cooling while wage increase forecasts are climbing? And what does this all signal for interest rates, economic growth, and the Reserve Bank's next move?
