If you’re looking at purchasing a car in 2021, be prepared to pay more.

In 2020, the motor industry saw new-car price hikes of more than 10 percent, due to the rand being weakened from R14 to R18,30 to the dollar at the time. The industry sought to justify the hike saying it’s to help them recover from the rand deteriorating.

Fast-forward to 2021, similar trends are being picked up again. However, the rand isn’t as weak as last year, so why are the prices still at an all-time high?

Guest: Professor Bernadene de Clercq – School of Accountancy, University of South Africa (UNISA)