Statistics Botswana could launch PPI by September

The planned Producer Price Index (PPI) would measure the average change over time in selling prices received by domestic producers for their output.  The prices included in the PPI are from the first commercial transaction for many products and some services.

At present, inflation in Botswana is measured via the Consumer Price Index where the prices of goods and services also include taxes, transport and mark ups by businesses.  By focussing strictly on the prices manufacturers receive for their goods and services, the PPI helps develop a more accurate picture of inflation for policymakers and other players looking at trends such as disposable incomes and the strength of the pula.