# Value of 1994 South African Rand today

R100 in 1994

R440.27 in 2021

The inflation rate in South Africa between 1994 and today has been 340.27%, which translates into a total increase of R340.27. This means that 100 rand in 1994 are equivalent to 440.27 rand in 2021. In other words, the purchasing power of R100 in 1994 equals R440.27 today. The average annual inflation rate has been 5.44%.

## Inflation timeline in South Africa (1994-2021)

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 (1994-2021) 339.41%
Total Inflation* 340.27%
Annual inflation avg. (1994-2021) 5.64%
Annual inflation avg.* 5.44%
CPI 1994 29.02
CPI 2021 127.53
CPI today* 127.78
R1 in 1994 R4.39 in 2021

* 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 with 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 27 years between 1994 and 2021 and the average inflation rate has been 5.4363%. Therefore, we can resolve the formula like this:

FV = PV (1 + i)n = R100 * (1 + 0.05)27 = R439.41

#### 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 1994 was 29.02 and the CPI today is 127.78. Therefore,

Final value = Initial value *
CPI final/CPI initial
= R100 *
127.53/29.02
= R439.41

### South Africa inflation - Conversion table

Initial Value Equivalent value
R1 rand in 1994 R4.4 rand today
R5 rand in 1994 R22.01 rand today
R10 rand in 1994 R44.03 rand today
R50 rand in 1994 R220.14 rand today
R100 rand in 1994 R440.27 rand today
R500 rand in 1994 R2,201.36 rand today
R1,000 rand in 1994 R4,402.73 rand today
R5,000 rand in 1994 R22,013.63 rand today
R10,000 rand in 1994 R44,027.26 rand today
R50,000 rand in 1994 R220,136.28 rand today
R100,000 rand in 1994 R440,272.55 rand today
R500,000 rand in 1994 R2,201,362.75 rand today
R1,000,000 rand in 1994 R4,402,725.5 rand today

Period Value
1994 100
1995 109.83
1996 117.43
1997 128.37
1998 136.29
1999 148.49
2000 151.82
2001 162.44
2002 169.89
2003 192.84
2004 189.69
2005 193.86
2006 197.77
2007 207.29
2008 222.98
2009 243.74
2010 258.76
2011 267.4
2012 284.3
2013 300.82
2014 316.6
2015 333.5
2016 350.77
2017 375.56
2018 392.46
2019 409.74
2020 426.26
2021 439.41
Today 440.27