Economy was 11% larger in 2020 than previously estimated: Stats SA

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Statistics South Africa says the revised level of GDP at current prices shows that the South African economy was 11% larger in 2020 than previously estimated.

The upward GDP level revision comes after Stats SA finalised an overhaul of its national accounts through a rebasing and benchmarking exercise.

Stats SA says the rebasing exercises ensure that the tools used to measure GDP takes into account the changing face of the economy and Industries.

Chief Director at Stats SA, Micheal Manamela, says rebasing exercise still shows the severe impact of COVID-19 in 2020 which resulted in a now revised 6,4% contraction of the economy.

“If you look at the different years, we’ve revised for many years. So I was giving you the 9,2% which was for the base year which is 2015.  In 2011 indeed it was up by 11%. So our survey program we’ve got our monthly survey which is there to assist you to measure quarterly growth, they’re not very comprehensive. For example, all you have is to say maybe for this type of retailer what was their sales? But it doesn’t give you the correct measure or accurate measure of the concept of GDP which is basically value-added.”