Bosnia and Herzegovina - 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 Bosnia and Herzegovina was 0.390 as of 2020. As the graph below shows, over the past 26 years this indicator reached a maximum value of 0.564 in 2008 and a minimum value of 0.322 in 2001.

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
1994 0.407
1995 0.491
1996 0.381
1997 0.367
1998 0.352
1999 0.360
2000 0.323
2001 0.322
2002 0.344
2003 0.414
2004 0.454
2005 0.460
2006 0.461
2007 0.512
2008 0.564
2009 0.522
2010 0.496
2011 0.510
2012 0.464
2013 0.466
2014 0.466
2015 0.394
2016 0.382
2017 0.392
2018 0.407
2019 0.390
2020 0.390

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