KFC Index

The KFC Index is an informal guide to measure purchasing power parity comparing exchange rates in African countries.

In this case, the concerned goods are KFC's Original 12/15 piece Bucket and geographically specific to African countries.

KFC, on the other hand, has operations in almost 20 African countries, which is the highest of any international fast food chain and therefore a more applicable benchmark to use.

The index was not intended as a precise gauge of currency misalignment but merely a tool to make exchange-rate theory more digestible.

As in the case of the Big Mac Index, the KFC Index was not created to be a highly accurate and precise tool for measuring purchasing power parity and its limitations include factors such as inflation, dietary preferences, socio-economic classifications, levels of competition and local costs (e.g. advertising, production and taxes).