# Value of 1993 South African Rand today

R100 in 1993

R450.07 in 2019

The inflation rate in South Africa between 1993 and today has been 350.07%, which translates into a total increase of R350.07. This means that 100 rand in 1993 are equivalent to 450.07 rand in 2019. In other words, the purchasing power of R100 in 1993 equals R450.07 today. The average annual inflation rate has been 5.73%.

## Inflation timeline in South Africa (1993-2019)

The following chart depicts the equivalence of R100 throughout the years due to inflation and CPI changes. All values are equivalent in terms of purchasing power, which means that for each year the same goods or services could be bought with the indicated amount of money.

All calculations are performed in the local currency (ZAR) and using 6 decimal digits. Results show only up to 2 decimal digits to favour readability. Inflation data is provided by governments and international institutions on a monthly basis. Today's values were obtained by estimating figures from recent trends.

The following table contains relevant indicators:

Indicator Value
Total Inflation (1993-2019) 348.86%
Total Inflation* 350.07%
Annual inflation avg. (1993-2019) 5.95%
Annual inflation avg.* 5.73%
CPI 1993 26.49
CPI 2019 118.92
CPI today* 119.24
R1 in 1993 R4.49 in 2019

* Values extrapolated from the last official data to obtain today's values.

## How to calculate today's value of money after inflation?

There are several ways to calculate the time value of money. Depending on the data available, results can be obtained by using the compound interest formula or the Consumer Price Index (CPI) formula.

#### Using the compound interest formula

Given that money changes in time as a result of an inflation rate that acts as a compound interest, the following formula can be used: FV = PV (1 + i)n, where:

• FV: Future Value
• PV: Present Value
• i: Interest rate (inflation)
• n: Number of times the interest is compounded (i.e. # of years)

In this case, the future value represents the final amount obtained after applying the inflation rate to our initial value. In other words, it indicates how much are R100 worth today. There are 26 years between 1993 and 2019 and the average inflation rate has been 5.7293%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = R100 * (1 + 0.06)26 = R448.86

#### Using the CPI formula

When the CPI for both start and end years is known, the following formula can be used:

Final value = Initial value *
CPI final/CPI initial

In this case, the CPI in 1993 was 26.49 and the CPI today is 119.24. Therefore,

Final value = Initial value *
CPI final/CPI initial
= R100 *
118.92/26.49
= R448.86

### South Africa inflation - Conversion table

Initial Value Equivalent value
R1 rand in 1993 R4.5 rand today
R5 rand in 1993 R22.5 rand today
R10 rand in 1993 R45.01 rand today
R50 rand in 1993 R225.03 rand today
R100 rand in 1993 R450.07 rand today
R500 rand in 1993 R2,250.35 rand today
R1,000 rand in 1993 R4,500.69 rand today
R5,000 rand in 1993 R22,503.47 rand today
R10,000 rand in 1993 R45,006.94 rand today
R50,000 rand in 1993 R225,034.71 rand today
R100,000 rand in 1993 R450,069.41 rand today
R500,000 rand in 1993 R2,250,347.07 rand today
R1,000,000 rand in 1993 R4,500,694.14 rand today

Period Value
1993 100
1994 109.55
1995 120.31
1996 128.65
1997 140.63
1998 149.31
1999 162.67
2000 166.32
2001 177.95
2002 186.11
2003 211.25
2004 207.8
2005 212.37
2006 216.65
2007 227.09
2008 244.28
2009 267.01
2010 283.47
2011 292.93
2012 311.45
2013 329.55
2014 346.83
2015 365.34
2016 384.27
2017 411.42
2018 429.94
2019 448.86
Today 450.07