Business Explainer - SA’s Motor Sector Just Grew 4.1%—But Interest Rates Could Kill The Momentum
Drive.co.za has released the findings of the Drive Motor Index (DMI) for the 1st quarter of 2026, which remains on an upward year-on-year trajectory. The DMI is also higher than prior to the Covid-19 pandemic.
Background to the DMI:
The DMI is a quarterly barometer of business conditions in the motor sector, compiled by renowned economist Dr Roelof Botha, a long-standing adjunct faculty member at GIBS and economic advisor to Drive.co.za. The DMI is a composite index that measures the real percentage change in key indicators of the motor vehicle industry (including manufacturing and sales of vehicles and associated indicators). It comprises twelve different indicators, weighted according to their perceived importance in gauging the overall state of the motor sector in South Africa.
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