FINANCIAL PLANNING
BUY NOW, PAY LATER BOOMS
AS SOUTH AFRICANS FACE TIGHTER BUDGETS, THE BUY-NOW-PAY-LATER MARKET IS SURGING, WITH PAYJUSTNOW LEADING THE CHARGE.
While Stats SA reported that South Africa’ s economy grew by 0.8 % in the second quarter of 2025, economists warn that this modest increase provides little relief for consumers already strained by the rising cost of living.
Conversely, the buy-now-pay-later( BNPL) sector is prospering. According to Ken Research’ s South Africa Buy Now, Pay Later Market report, the industry is projected to grow at a compound annual rate of 14.8 %, reaching an estimated market value of $ 5.7 billion by 2027. The rise is driven by consumers looking for responsible, interest-free payment options for both essential and lifestyle purchases.
“ Buy-now-pay-later has become a mainstream payment method for consumers who want a responsible, convenient way to shop without revolving credit or high-interest debt,” says Dean Hyde, COO at PayJustNow.“ Retailers must adapt to these changing preferences and unlock the sales, loyalty, and growth potential that BNPL offers across both physical and online channels.”
TransUnion’ s 2025 Consumer Pulse Study revealed that 46 % of South Africans are likely to utilise BNPL products over the next year, including a growing number of middle- and higher-income shoppers who appreciate flexible, interest-free payment options.
Hyde says BNPL offers retailers significant growth
14 INBOUND SA / December 2025