Measure the percentage increase or decrease between two values.
Worked example
If a price rises from ₦8,000 to ₦10,000, the change is ₦2,000. Dividing that change by the original ₦8,000 gives a 25% increase. A decrease uses the same method but produces a negative result.
Assumptions to check
Percentage change depends on the starting value. It is not the same as the difference in percentage points between two rates.
Important limitation
The result is based on the original value as the reference. A zero original value cannot be used as the denominator for a conventional percentage-change calculation.
Quick question
What is the reference value?
The original value is the reference point in the standard percentage-change formula.