South Africa high earners face debt crisis as repayments exceed income

New data from DebtBusters’ Q2 2026 Debt Index reveals a significant financial strain among high-income earners in South Africa. Individuals earning above R50,000 per month are currently using 103% of their income to service debt, meaning repayments exceed their total monthly earnings.

According to the report, debt exposure for this group has reached 307% of their annual net income. Unsecured debt among these high earners has risen by 84% since 2021, a period during which cumulative inflation rose by 29%. To cover the deficit between income and debt obligations, consumers are reportedly relying on credit, savings, and other assets.

The report also highlights a disparity in credit access. While lending to higher-income consumers increased following the Covid-19 pandemic, lower-income groups have seen a decline in credit access. For those earning between R10,000 and R20,000, nearly one-third of disposable income is consumed by food costs, limiting the ability to fund insurance, savings, or emergencies.