Young South Africans navigate financial pressure with savvy choices – Standard Bank youth barometer

South Africa’s youth are feeling the financial pinch, but they’re not taking it lying down. The inaugural Standard Bank Youth Barometer reveals that while young adults aged 18 to 35 are under mounting financial pressure, they are also making financially astute decisions in response to economic constraints.

The report, which offers a detailed snapshot of financial behaviours and trends among South Africa’s younger generation, highlights a growing pattern of pragmatic money management, despite challenging circumstances.

The report further revealed that more than 50% of young people’s income is spent on non-negotiables like groceries, rent, and transport, reflecting the cost-of-living burden that weighs heavily on this demographic. In addition, a staggering 73% of youth opt for second-hand vehicles, and more than 65% of those purchases are made without a deposit, indicating both ingenuity and a potential risk in credit reliance.

While 26% of South Africans under 35 have funeral policies, only 16% have life cover, suggesting a shortfall in long-term financial planning and risk protection. Nearly 40% of new home loans are going to individuals under 35, reflecting increasing access to property finance and a growing appetite for long-term investment among young people.

According to Standard Bank, the findings signal a resilient and financially literate generation navigating economic headwinds with care. Many are engaging with savings tools, financial literacy programmes, and alternative pathways to homeownership and vehicle access.

However, the bank also warns that the tendency to borrow without deposits and the low uptake of life insurance could expose young consumers to financial vulnerability in the event of emergencies or income shocks.

“As banks, we have a responsibility to support young South Africans through inclusive products and smarter financial solutions,” a Standard Bank representative said.

The Youth Barometer reflects a new narrative: one of young people under pressure but pushing forward, carving out financial independence with foresight, creativity, and increasing confidence.