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

The value for Real effective exchange rate index (2010 = 100) in Ireland was 88.54 as of 2021. As the graph below shows, over the past 42 years this indicator reached a maximum value of 113.20 in 2008 and a minimum value of 82.00 in 2000.

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 82.66
1980 88.02
1981 87.42
1982 94.34
1983 95.68
1984 95.74
1985 97.12
1986 104.67
1987 102.90
1988 101.15
1989 99.60
1990 104.57
1991 100.82
1992 103.32
1993 96.50
1994 95.86
1995 96.68
1996 99.03
1997 91.67
1998 88.89
1999 85.56
2000 82.00
2001 84.89
2002 89.65
2003 99.03
2004 101.88
2005 101.54
2006 103.46
2007 109.06
2008 113.20
2009 107.74
2010 100.00
2011 100.23
2012 95.64
2013 97.41
2014 96.61
2015 88.62
2016 89.55
2017 89.83
2018 90.76
2019 88.26
2020 88.38
2021 88.54

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