01608cas a2200241 a 4500 AALejournalIMF016052 230101c9999 xx r poo 0 0eng d 5.00 USD 9781513521572 1018-5941 BD-DhAAL BD-DhAAL Miyajima, Ken. Exchange Rate Volatility and Pass-Through to Inflation in South Africa / Ken Miyajima. Washington, D.C. : International Monetary Fund, 2019. 1 online resource (27 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Does the South African rand's relatively large volatility affect inflation? To shed some light on this question, a standard estimation technique of exchange rate pass-through to inflation is extended to incorporate exchange rate volatility. Estimated results suggest that higher exchange rate volatility tends to increase core inflation but to a relatively limited extent in South Africa. The finding lends support to the policy of allowing the rand to float freely and work as a shock absorber, consistent with the nation's successful inflation targeting regime. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2019/277 Full text available on IMF http://elibrary.imf.org/view/journals/001/2019/277/001.2019.issue-277-en.xml IMF e-Library