Industrial production doubled its pace of contraction in q4, as unprecedented rolling blackouts hampered mining and manufacturing activities. Inflation, consumer prices for south africa fpcpitotlzgzaf. Learn more about the south africa economy, including the population of south africa, gdp, facts, trade, business, inflation and other data and analysis on its economy from the index of economic. Prior to january 2006, all prices of goods and services were collected from the head office of statistics south africa stats sa mainly using the post and fax. This means that 100 rand in 1958 are equivalent to 9,511. South africa inflation rate 19682020 data 20212022 forecast. The data consists of the unemployment rate and economic growth rate of south africa for the period 1994 to 2016 on a quarterly basis. Evidence from a dynamic panel threshold regression approach, working paper series n 249, african development bank, abidjan, cote divoire. The headline inflation rate at february 2018 was 4% year on year.
Mar 23, 2018 connecting the dots between the hike in south africas vat and inflation march 23, 2018 4. Jun 21, 2017 south africas inflation rate rose for the first time this year in may after foodprice growth quickened from the slowest pace since december 2015. Other countries posted growth of between 1percent swaziland and 4. Egypts core and overall inflation rate exceeded 30 percent yy in march 2017 due to currency. Unemployment in south africa is widespread, with the o. Consumer price index the south african cpi sources and. When we talk about the rate of inflation in south africa, this often refers to the rate of inflation based on the consumer price index, or cpi for short. Zar inflation calculator south african rand 19582020. Threshold effects of inflation on economic growth in africa.
Nov 25, 2019 south africas inflation has been quite stable for the past years, levelling off between 4. First off most of our salaries go into living expenses. Development of inflation rates in south africa the inflation rate for consumer prices in south africa moved over the past 40 years between 0. The highest inflation rate in 2019 was reported in. In todays blog we take a look at south africas m3 money supply and its correlation to south africas official inflation rate. South africa inflation rate falls into target band in august. Overview outh africas gdp growth rate is forecast to increase in 2017 and improve moderately over the medium term. South africa remains a dual economy with one of the highest inequality rates in the world, with a consumption expenditure gini coefficient of 0. Unemployment remains a key challenge, standing at 27. Subsaharan africa inflation rate 20142024 statista. Table d contributions of the different groups to the monthly percentage.
South africas inflation rate rose for the first time this year in may after foodprice growth quickened from the slowest pace since december 2015. South africa s annual inflation rate nudged up to 4,6% in february from januarys 4,5%, inching past the 4,5% midpoint of the south african reserve banks monetary policy target range. Graph and download economic data for inflation, consumer prices for south africa fpcpitotlzgzaf from 1960 to 2019 about south africa, consumer, cpi. South africa inflation rate 19682020 data 20212022.
Inflation as measured by the consumer price index reflects the annual percentage change in the cost to the average consumer of acquiring a basket of goods and services that may be fixed or. Over the same time, annual inflation has fallen from a high of 15. The role of the south african reserve bank the sarbs constitutional mandate. Report of the south african reserve bank 201718 presentation to the standing committee on finance 15 august 2018. The source of data for this study were mainly the south african reserve bank, the federal reserve economic database and world bank database. The effect of excise tax increases on cigarette prices in. The cpi inflation rates in the table are presented both on a monthly basis compared to the month before as well as on a yearly basis compared to the same month the year before.
In south africa, the annual inflation rate increased by 4. The icp uses purchasing power parities ppps to effect conversion. The index is a measure of the average price which consumers spend on a marketbased basket of goods and services. Connecting the dots between the hike in south africas vat. Consumer price index the south african cpi sources and methods manual 15 march 2017. Growth in the region is forecast to improve in the medium term, rising to an average. The south african cpi originated in 1917, covering large urban areas only. Inflation dynamics in south africa the role of thresholds, exchange rate passthrough and inflation expectations on policy tradeoffs. This statistic shows the average inflation rate in subsaharan africa from 2014 to 2018, with projections up until 2024. According to the statistical institute, the acceleration in price pressures chiefly reflected higher prices for miscellaneous goods and services. In other words, the purchasing power of r100 in 1958 equals r9,511. Current inflation south africa cpi south africa the inflation is based upon the south african consumer price index. Inflation based upon the consumer price index cpi is the main inflation indicator in most countries.
Dec 04, 2019 this statistic shows the average inflation rate in subsaharan africa from 2014 to 2018, with projections up until 2024. The inflation rate in south africa between 1958 and 2020 was 9,411. The sarb estimates that the neutral interest rate neither promotesaccommodates nor weakensrestricts economic growth is about 2. South africa economy gdp, inflation, cpi and interest rate. Connecting the dots between the hike in south africas vat and inflation march 23, 2018 4. The sarb estimates that the neutral interest rate neither promotesaccommodates nor weakensrestricts economic growth is. Main drivers of sas inflation rate south african market. Index cpi and selected price categories january 2017 to november 2018. This page provides south africa inflation rate actual values, historical data, forecast, chart, statistics, economic calendar and news.
Now to calculate what the real inflation rate for south africa 2016 2017 was we need to look at what we will most likely be spending our salaries on, the percentage and also what we are saving servicing debt for those massive purchases in our lifetime. It is regularly contended that the overly strict application of inflation targeting stifles employment growth in south africa, with the contentious phillips curve often used as seemingly authoritative reference. Threshold effects of inflation on economic growth in. Inflation expectations bureau for economic research ber. Inflation and the effect of real interest rates moneyweb. Global economic prospects june 2017 middle east and north. Mar 19, 2020 the inflation expectations for the current and next two years and forecast of various other economic variables such as economic growth, the rand dollar exchange rate and wage increases of financial analysts, business people, trade union officials and households are available separately. The unemployment rate is even higher among youths, at around 55. The south african cpi shows the change in prices of a standard package of goods and services which south african households purchase for consumption. South africas inflation has been quite stable for the past years, levelling off between 4. During the observation period from 1979 to 2019, the average inflation rate was 9.
Organisation for economic cooperation and development oecd. With inflation falling and growth collapsing it is time to cut interest rates. We estimate this relationship in south africa for 20012015. Proponents of this hypothesis argue that there is a tradeoff between inflation and unemployment, which might be exploited to reduce the unemployment rate. Analytical report on inflation in consumer price index for food. Inflation south africa 2017 the inflation rate is based upon the consumer price index cpi. South africas reserve bank sarb does not intervene in currency markets in order to influence the level of the rand.
An estimate of the threshold level of inflation in pakistan, state bank of pakistan. The economy likely fell into technical recession in the fourth quarter of last year. The inflation rate is based upon the consumer price index cpi. South africas inflation has been quite stable for the past years. The inflation crisis of 2008 drew greater attention to the varying experiences of inflation in south africa and,in particular, to the fact that different groups within society may have significantly differing inflation experiences. Inflation, consumer prices annual % international monetary fund, international financial statistics and data files.
South africa inflation inflation inches up in february. South africa s inflation has been quite stable for the past years, levelling off between 4. South africas growth and inflation ranked against the rest of the world sources. M3 money supply can broadly be defined as the liquid cash in a countrys economy this includes easily accessible deposits, actual notes and coins etc. With inflation falling and growth collapsing it is time. Statistics south africa divides household monthly expenditure into 10 decile. Following inflation rates are available for south africa.
With substantial depreciation, however, even low levels of passthrough still generate meaningful amounts of inflation. Annual consumer price inflation was 4,7% in december 2017, up from 4,6% in. Pdf unemployment in south africa is so widespread that it demands an explanation. Data on south africa across agriculture,development,economy,education,energy,environment,finance,government,health,innovation and technology,jobs,society find, compare and share oecd data by country. The rate of inflation over one year to february 2018 compared to february 2017. The highest inflation rate in 2019 was reported in venezuela, followed by zimbabwe, south sudan, sudan, argentina, liberia, iran and ethiopia, haiti and angola. We suggest to use the links underneath the current inflation rate, in case you are interested in more extensive information on the development of the current or historic inflation in south africa.
The last time the inflation rate was above the midpoint was in november 2018 when the rate was 5,2%. A weak governance environment for investors and corporations in mena may limit potential benefits from more supportive conditions. This research was conducted to evaluate the adoption of inflation targeting in south africa as a strategy to maintain price stability. Statistic south africa divides household monthly expenditure into 10 decile. Passthrough from the exchange rate to inflation has been low in recent years, relative to past experiences. Inflation south africa 2017 cpi the inflation chart and table below feature an overview of the south african inflation in 2017. Sas m3 money supply and its inflation rate south african. Consumer prices eased in botswana, namibia, and south africa during the month of april. Outlook and risks in gcc oil exporters, gradually improving pmis suggest recovery in the nonoil sectors. Inflation calculator historical inflation data south africa. South africas import requirements have also risen given the droughtinduced decline in local food production. Though south africa inflation rate fluctuated substantially in recent years, it tended to decrease through 1999 2018 period ending at 4. Pdf the impact of petrol price movements on south african inflation. On a monthly basis, consumer prices went up 1 percent, the most since february 2017, after rising 0.
South africas inflation fell below the upper end of the central banks target band in august for the first time this year, leaving room for policymakers to continue to pause their tightening. South africas annual inflation rate nudged up to 4,6% in february from januarys 4,5%, inching past the 4,5% midpoint of the south african reserve banks monetary policy target range. The article addresses a significant shortcoming in the existing south african literature by directly testing the relationship between inflation and the unemployment rate, instead of relying on traditional approximations of this relationship through variables such as the output gap or economic growth which might have contributed to the confusion. Table d contributions of the different groups to the monthly percentage change. Annual consumer price inflation was 6,1% in march 2017, down from 6,3% in. The real inflation rate for consumers in south africa. Evidence from a dynamic panel threshold regression approach arcade ndoricimpaa auniversity of burundi, faculty of economics and management, po box 1280 bujumbura.
The average annual inflation rate between these periods was 7. Mar 03, 2020 graph and download economic data for inflation, consumer prices for south africa fpcpitotlzgzaf from 1960 to 2019 about south africa, consumer, cpi, inflation, price index, price, and indexes. South africa is widespread, with the official rate hovering around 2025% for most of the past 25 years. A special mention goes to the publications section for the editing, translation, design and printing of. Sep 21, 2016 south africas inflation fell below the upper end of the central banks target band in august for the first time this year, leaving room for policymakers to continue to pause their tightening. Data statistics south africa provided disaggregated cigarette price data, used in the calculation of the consumers price index. Jun 20, 2017 with inflation falling and growth collapsing it is time to cut interest rates. In 2018, the average inflation rate in subsaharan africa amounted to about. The groups may be defined according to income level, but may also b. Basically south african consumers have very little control over the rate of inflation in south africa, and south africa has a underlying rate of inflation that regardless of all the other factors will always be there, due to lack of competition for certain products, large amounts of regulated prices and other inherent issues such as the 10%. Inflation dynamics in south africa the role of thresholds. The comparison was done to determine if the reserve bank was on the right track in adopting inflation. This page provides south africa inflation rate actual values, historical.
The research was based on the period prior to inflation targeting and the period of inflation targeting. The inflation expectations for the current and next two years and forecast of various other economic variables such as economic growth, the rand dollar exchange rate and wage increases of financial analysts, business people, trade union officials and households are available separately. The lowest inflation rate in 2019 was reported by libya, burkina faso, chad, mali, niger, united arab emirates, iraq, fiji and qatar. South africa inflation rate falls into target band in. In todays blog we take a look at south africa s m3 money supply and its correlation to south africa s official inflation rate.
Inflation south africa 2017 cpi inflation south africa 2017. South africas inflation rate rises for first time in 2017. Inflation rates and contribution of petrol prices to headline inflation, where. This is the inflation index data, from stats sa, used by the calculator. Inflation south africa current south african inflation rate. The last time the inflation rate was above the midpoint.
1540 311 1313 674 696 873 736 1478 422 263 658 602 388 270 935 11 860 1507 878 118 206 720 33 505 553 572 942 1105 1240 1155 565 3 157 708 1324 917 725 874 1051 1347 1174 985