Afghanistan - 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 Afghanistan was 0.249 as of 2020. As the graph below shows, over the past 18 years this indicator reached a maximum value of 0.348 in 2011 and a minimum value of 0.205 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
2002 0.205
2003 0.206
2004 0.228
2005 0.237
2006 0.245
2007 0.293
2008 0.287
2009 0.288
2010 0.318
2011 0.348
2012 0.334
2013 0.310
2014 0.297
2015 0.266
2016 0.258
2017 0.251
2018 0.233
2019 0.230
2020 0.249

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