Costa Rica - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in Costa Rica was 97.19 as of 2021. As the graph below shows, over the past 41 years this indicator reached a maximum value of 141.45 in 1980 and a minimum value of 77.05 in 1981.

Definition: Real effective exchange rate is the nominal effective exchange rate (a measure of the value of a currency against a weighted average of several foreign currencies) divided by a price deflator or index of costs.

Source: International Monetary Fund, International Financial Statistics.

See also:

Year Value
1980 141.45
1981 77.05
1982 78.99
1983 95.59
1984 98.30
1985 101.05
1986 93.16
1987 89.20
1988 84.10
1989 88.65
1990 87.51
1991 80.96
1992 85.64
1993 88.33
1994 87.64
1995 89.36
1996 89.54
1997 90.67
1998 92.57
1999 90.25
2000 92.13
2001 95.84
2002 93.61
2003 87.56
2004 84.81
2005 84.70
2006 85.29
2007 86.52
2008 89.12
2009 90.27
2010 100.00
2011 101.82
2012 106.19
2013 110.51
2014 106.31
2015 114.59
2016 113.79
2017 108.53
2018 105.74
2019 106.42
2020 107.30
2021 97.19

Development Relevance: In a market-based economy, household, producer, and government choices about resource allocation are influenced by relative prices, including the real exchange rate, real wages, real interest rates, and other prices in the economy. Relative prices also largely reflect these agents' choices. Thus relative prices convey vital information about the interaction of economic agents in an economy and with the rest of the world.

Limitations and Exceptions: Because of conceptual and data limitations, changes in real effective exchange rates should be interpreted with caution.

Statistical Concept and Methodology: The real effective exchange rate is a nominal effective exchange rate index adjusted for relative movements in national price or cost indicators of the home country, selected countries, and the euro area. A nominal effective exchange rate index is the ratio (expressed on the base 2010 = 100) of an index of a currency's period-average exchange rate to a weighted geometric average of exchange rates for currencies of selected countries and the euro area. For most high-income countries weights are derived from industrial country trade in manufactured goods. Data are compiled from the nominal effective exchange rate index and a cost indicator of relative normalized unit labor costs in manufacturing. For selected other countries the nominal effective exchange rate index is based on manufactured goods and primary products trade with partner or competitor countries. For these countries the real effective exchange rate index is the nominal index adjusted for relative changes in consumer prices; an increase represents an appreciation of the local currency.

Base Period: 2010

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Exchange rates & prices