Ina Opperman
Business Journalist
4 minute read
5 Jul 2022
5:19 pm

Inflation explained: Here’s how it affects you and your investments

Ina Opperman

This is what inflation means for consumers: a general increase in prices and a decrease in what your money can buy.

Image: iStock

How does inflation affect consumers? Month after month we hear about inflation and that it is increasing currently, but few people know why they should care, apart from the fact that they can feel their money having to stretch further as inflation increases. “Inflation is an economic term that means you have to spend more over time to fill up your car, buy a litre of milk or get a haircut,” says Jaco Prinsloo, certified financial planner at Alexforbes. Image: Alexforbes He explains that inflation drives up the cost of food, fuel and living expenses and erodes your buying power....