China - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in China was 127.06 as of 2021. As the graph below shows, over the past 41 years this indicator reached a maximum value of 269.76 in 1980 and a minimum value of 70.53 in 1994.

Definition: Real effective exchange rate is the nominal effective exchange rate (a measure of the value of a currency against a weighted average of several foreign currencies) divided by a price deflator or index of costs.

Source: International Monetary Fund, International Financial Statistics.

See also:

Year Value
1980 269.76
1981 242.08
1982 230.94
1983 227.01
1984 202.34
1985 171.75
1986 124.07
1987 107.18
1988 117.17
1989 136.31
1990 100.54
1991 88.30
1992 84.55
1993 89.96
1994 70.53
1995 78.60
1996 86.35
1997 93.00
1998 98.02
1999 92.69
2000 92.77
2001 96.76
2002 94.55
2003 88.38
2004 85.85
2005 84.92
2006 86.26
2007 89.33
2008 97.01
2009 101.11
2010 100.00
2011 102.70
2012 108.68
2013 114.62
2014 118.31
2015 129.97
2016 123.67
2017 120.09
2018 121.74
2019 120.89
2020 123.38
2021 127.06

Development Relevance: In a market-based economy, household, producer, and government choices about resource allocation are influenced by relative prices, including the real exchange rate, real wages, real interest rates, and other prices in the economy. Relative prices also largely reflect these agents' choices. Thus relative prices convey vital information about the interaction of economic agents in an economy and with the rest of the world.

Limitations and Exceptions: Because of conceptual and data limitations, changes in real effective exchange rates should be interpreted with caution.

Statistical Concept and Methodology: The real effective exchange rate is a nominal effective exchange rate index adjusted for relative movements in national price or cost indicators of the home country, selected countries, and the euro area. A nominal effective exchange rate index is the ratio (expressed on the base 2010 = 100) of an index of a currency's period-average exchange rate to a weighted geometric average of exchange rates for currencies of selected countries and the euro area. For most high-income countries weights are derived from industrial country trade in manufactured goods. Data are compiled from the nominal effective exchange rate index and a cost indicator of relative normalized unit labor costs in manufacturing. For selected other countries the nominal effective exchange rate index is based on manufactured goods and primary products trade with partner or competitor countries. For these countries the real effective exchange rate index is the nominal index adjusted for relative changes in consumer prices; an increase represents an appreciation of the local currency.

Base Period: 2010

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Exchange rates & prices