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

The value for Real effective exchange rate index (2010 = 100) in Iran was 225.39 as of 2021. As the graph below shows, over the past 42 years this indicator reached a maximum value of 423.15 in 1984 and a minimum value of 54.48 in 1993.

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
1979 207.71
1980 227.41
1981 270.97
1982 317.17
1983 375.52
1984 423.15
1985 251.23
1986 166.23
1987 184.57
1988 216.85
1989 217.22
1990 146.56
1991 131.32
1992 72.23
1993 54.48
1994 67.20
1995 90.44
1996 117.32
1997 146.05
1998 180.82
1999 219.50
2000 260.57
2001 296.31
2002 112.36
2003 70.54
2004 70.30
2005 72.16
2006 73.84
2007 77.51
2008 87.47
2009 99.00
2010 100.00
2011 114.12
2012 126.76
2013 123.15
2014 91.35
2015 96.40
2016 98.68
2017 97.59
2018 91.20
2019 126.52
2020 164.55
2021 225.39

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