Panama - Price level ratio of PPP conversion factor (GDP) to market exchange rate

The value for Price level ratio of PPP conversion factor (GDP) to market exchange rate in Panama was 0.467 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.574 in 2012 and a minimum value of 0.462 in 2006.

Definition: Purchasing power parity conversion factor is the number of units of a country's currency required to buy the same amount of goods and services in the domestic market as a U.S. dollar would buy in the United States. The ratio of PPP conversion factor to market exchange rate is the result obtained by dividing the PPP conversion factor by the market exchange rate. The ratio, also referred to as the national price level, makes it possible to compare the cost of the bundle of goods that make up gross domestic product (GDP) across countries. It tells how many dollars are needed to buy a dollar's worth of goods in the country as compared to the United States. PPP conversion factors are based on the 2011 ICP round.

Source: World Bank, International Comparison Program database.

See also:

Year Value
1990 0.516
1991 0.502
1992 0.516
1993 0.522
1994 0.530
1995 0.521
1996 0.507
1997 0.506
1998 0.505
1999 0.502
2000 0.485
2001 0.480
2002 0.480
2003 0.477
2004 0.473
2005 0.467
2006 0.462
2007 0.472
2008 0.498
2009 0.526
2010 0.533
2011 0.553
2012 0.574
2013 0.571
2014 0.559
2015 0.538
2016 0.515
2017 0.497
2018 0.489
2019 0.481
2020 0.467

Statistical Concept and Methodology: The ratio of the PPP conversion factor to the market exchange rate - the national price level or comparative price level - measures differences in the price level at the gross domestic product (GDP) level. The price level index tends to be lower in poorer countries and to rise with income.

Periodicity: Annual

Classification

Topic: Economic Policy & Debt Indicators

Sub-Topic: Purchasing power parity