Papua New Guinea - 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 Papua New Guinea was 0.643 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.870 in 2012 and a minimum value of 0.373 in 2002.

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 0.761
1991 0.790
1992 0.784
1993 0.737
1994 0.753
1995 0.643
1996 0.651
1997 0.638
1998 0.503
1999 0.447
2000 0.454
2001 0.389
2002 0.373
2003 0.423
2004 0.445
2005 0.503
2006 0.542
2007 0.566
2008 0.657
2009 0.607
2010 0.669
2011 0.784
2012 0.870
2013 0.823
2014 0.776
2015 0.675
2016 0.606
2017 0.629
2018 0.653
2019 0.630
2020 0.643

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