Luxembourg - Official exchange rate (LCU per US$, period average)

The value for Official exchange rate (LCU per US$, period average) in Luxembourg was 0.85 as of 2021. As the graph below shows, over the past 61 years this indicator reached a maximum value of 59.38 in 1985 and a minimum value of 0.68 in 2008.

Definition: Official exchange rate refers to the exchange rate determined by national authorities or to the rate determined in the legally sanctioned exchange market. It is calculated as an annual average based on monthly averages (local currency units relative to the U.S. dollar).

Source: International Monetary Fund, International Financial Statistics.

See also:

Year Value
1960 50.00
1961 50.00
1962 50.00
1963 50.00
1964 50.00
1965 50.00
1966 50.00
1967 50.00
1968 50.00
1969 50.00
1970 50.00
1971 49.06
1972 44.01
1973 38.98
1974 38.95
1975 36.78
1976 38.61
1977 35.84
1978 31.49
1979 29.32
1980 29.24
1981 37.13
1982 45.69
1983 51.13
1984 57.78
1985 59.38
1986 44.67
1987 37.33
1988 36.77
1989 39.40
1990 33.42
1991 34.15
1992 32.15
1993 34.60
1994 33.46
1995 29.48
1996 30.96
1997 35.77
1998 36.30
1999 0.94
2000 1.08
2001 1.12
2002 1.06
2003 0.88
2004 0.80
2005 0.80
2006 0.80
2007 0.73
2008 0.68
2009 0.72
2010 0.75
2011 0.72
2012 0.78
2013 0.75
2014 0.75
2015 0.90
2016 0.90
2017 0.89
2018 0.85
2019 0.89
2020 0.88
2021 0.85

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: Official or market exchange rates are often used to convert economic statistics in local currencies to a common currency in order to make comparisons across countries. Since market rates reflect at best the relative prices of tradable goods, the volume of goods and services that a U.S. dollar buys in the United States may not correspond to what a U.S. dollar converted to another country's currency at the official exchange rate would buy in that country, particularly when nontradable goods and services account for a significant share of a country's output. An alternative exchange rate - the purchasing power parity (PPP) conversion factor - is preferred because it reflects differences in price levels for both tradable and nontradable goods and services and therefore provides a more meaningful comparison of real output.

Statistical Concept and Methodology: The exchange rate is the price of one currency in terms of another. Official exchange rates and exchange rate arrangements are established by governments. Other exchange rates recognized by governments include market rates, which are determined largely by legal market forces, and for countries with multiple exchange arrangements, principal rates, secondary rates, and tertiary rates.

Periodicity: Annual

Classification

Topic: Financial Sector Indicators

Sub-Topic: Exchange rates & prices