IDEAS home Printed from https://ideas.repec.org/a/taf/wjabxx/v23y2022i1p225-245.html
   My bibliography  Save this article

Exchange Rate Pass-through to Producer Prices in South Africa: Evidence from Panel Contemporaneous Correlated Approach

Author

Listed:
  • Beatrice D. Simo-Kengne
  • Jacoba Viljoen
  • Promise M. Nduku

Abstract

This paper investigates the exchange rate pass-through to producer prices in South African industries from 1970 to 2016. Empirical results from panel contemporaneous techniques indicate that exchange rate pass-through to South African producer prices is contingent on the currency choice with substantial variations across industries. Particularly, Rand variations with the currency of Germany, Japan, and the US pose greater influence on the producer prices of South African industries whilst the Chinese and Indian currency variations have the least bearing. The mining and quarrying; the manufacturing and the construction industries are among the sectors that are most exposed to the exchange rate fluctuations. The less pass-through effect occurs in three sectors, namely trade, catering and accommodation services; electricity, gas and water; and transport, storage and communication. This possibly indicates their limited exposure to external shocks.

Suggested Citation

  • Beatrice D. Simo-Kengne & Jacoba Viljoen & Promise M. Nduku, 2022. "Exchange Rate Pass-through to Producer Prices in South Africa: Evidence from Panel Contemporaneous Correlated Approach," Journal of African Business, Taylor & Francis Journals, vol. 23(1), pages 225-245, January.
    • Handle: RePEc:taf:wjabxx:v:23:y:2022:i:1:p:225-245
    DOI: 10.1080/15228916.2020.1826860
    as

    Download full text from publisher

    File URL: http://hdl.handle.net/10.1080/15228916.2020.1826860
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/15228916.2020.1826860?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Sedegah Kordzo & Odhiambo Nicholas M., 2021. "A Review of the Impact of External Shocks on Monetary Policy Effectiveness in Non-WAEMU Countries," Studia Universitatis „Vasile Goldis” Arad – Economics Series, Sciendo, vol. 31(3), pages 37-59, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:wjabxx:v:23:y:2022:i:1:p:225-245. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/wjab20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.