The Consumer Price Index (CPI) and Producer Price Index (PPI) are the two primary measures of inflation for South Africa. Both indicators are published on a monthly basis.The Consumer Price Index tracks the rate of change in the prices of goods and services purchased by consumers. The headline CPI is used as the inflation target measure which guides the South African Reserve Bank on the setting of interest rates.
The Producer Price Index tracks the rate of change in the prices charged by producers of goods. Stats SA publishes PPIs for different industries with the PPI for final manufactured goods being the headline PPI. Additional PPIs are compiled for Agriculture, forestry and fishing; Mining and quarrying; Electricity and water; Intermediate manufactured goods; Imports and Exports; and Construction.
The PPI is widely used by businesses as a contract escalator and as a general indicator of inflationary pressures in the economy.
MEDIA RELEASE 27 January 2017 New basket and weights for the Consumer Price Index (CPI) There are 412 products and services in the new CPI basket, an increase from 396, which now includes new products such as instant noodles, frozen pizzas and pies, and ready-mixed flour products. Stats SA announced the changes to the read more »