A new DebtBusters report reveals a sharp rise in financial anxiety, with young adults and lower-income households feeling the biggest strain.
By Bulelwa Hoala
More and more South Africans are feeling financial pressure as the rising cost of living, mounting debt and economic uncertainty take a toll on their mental wellbeing.
Speaking to Kaya Biz with Gugulethu Mfuphi, DebtBusters Executive Head Benay Sager unpacked the latest findings of the company’s fifth annual Money Stress Tracker, which found that 72% of respondents experience money-related stress, highlighting the growing link between fina,nces and anxiety.
Providing context into the report, including its trends and evolution, Sager said the online survey has gathered responses from around 18 000 South Africans this year and has now reached more than 130 000 respondents over the past five years.
Women remain financially burdened
According to Sager, the survey has consistently shown that women experience higher levels of financial stress than men.
Sager said women often carry multiple responsibilities within households, contributing to the increased pressure.
“Women tend to be mothers, caregivers and heads of households. They’re often the ones making financial plans and looking after everyone else, so it’s not surprising that they continue to report higher levels of money stress.”
Young South Africans feeling the pressure
This year’s report also revealed that young people and lower-income households are experiencing the sharpest increase in financial anxiety.
According to the report, respondents aged 25 years and younger recorded an 18% increase in financial stress compared to last year.
“What we’re seeing this year is almost what I would call a cost-of-living crisis, particularly for younger and lower-income respondents,” Sager said.
“The youngest generation is now the most financially anxious, and that doesn’t bode well for us because South Africa is a young country,” he added.
Sager said a combination of factors is driving the increase, including persistent unemployment, rising living costs and growing uncertainty around the future of work.
“Our younger people are struggling to find jobs. In some cases, advances in artificial intelligence are making it more difficult for entry-level opportunities to become available.”
Listen to the full conversation on the podcast:
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