The PayInc Economic Index, which tracks the monthly value of electronic transactions cleared through PayInc alongside wholesale cash demand, raised alarm bells on Wednesday indicating that the index dropped to its lowest level since November 2025.
South Africa's economic recovery is facing renewed pressure after the PayInc Economic Index, fell to its lowest level in seven months, signalling a slowdown in activity as households and businesses grapple with rising fuel costs, higher interest rates and growing global uncertainty.
The latest PayInc Economic Index, which measures the value of electronic transactions processed through PayInc together with wholesale cash demand, declined by 2.1% month-on-month to 102.6 in May 2026, its lowest reading since November 2025.
Shergeran Naidoo, head of stakeholder engagement at PayInc, said the decline points to a moderation in economic activity despite the index remaining higher than a year ago.
Naidoo said the Index said that it shows that both the volume and value of transactions remained largely unchanged in May.
