Botswana - 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 Botswana was 0.414 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.534 in 2011 and a minimum value of 0.341 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 0.519
1991 0.486
1992 0.485
1993 0.467
1994 0.451
1995 0.459
1996 0.436
1997 0.410
1998 0.385
1999 0.396
2000 0.401
2001 0.371
2002 0.341
2003 0.442
2004 0.500
2005 0.514
2006 0.470
2007 0.456
2008 0.422
2009 0.425
2010 0.482
2011 0.534
2012 0.519
2013 0.491
2014 0.477
2015 0.437
2016 0.420
2017 0.457
2018 0.452
2019 0.423
2020 0.414

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