South Africa’s GDP revised upwards by 5%
By the AFREEQUE newsroom, based on P.M. News
Illustrative image · K · Pexels · Licence PexelsA statistical revision of South Africa’s gross domestic product increased the estimated size of the national economy by about 5%, widening its lead over Nigeria. The update, based on a new base year and updated data, does not reflect a sudden increase in production, according to Reuters.
The statistical revaluation increased the estimate of the size of the South African economy by about 5%, widening its lead over Nigeria among sub-Saharan Africa’s economies. The increase resulted from a review and rebasing exercise conducted by the South African statistics agency, according to Reuters, as cited on Thursday by P.M. News.
The operation incorporated updated statistical data, as well as changes in the structure of the economy and in measurement methods. It modifies the estimate of gross domestic product (GDP), meaning the total value of goods and services produced over a given period, without indicating that production suddenly increased by 5%.
Nigeria temporarily overtook South Africa in rankings based on nominal GDP after its own rebasing in 2014. Exchange-rate movements, economic growth and statistical revisions have since influenced comparisons between the two countries.
