Malaysia - 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 Malaysia was 0.373 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.479 in 2011 and a minimum value of 0.289 in 1998.

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 0.358
1991 0.353
1992 0.382
1993 0.384
1994 0.383
1995 0.407
1996 0.413
1997 0.375
1998 0.289
1999 0.294
2000 0.313
2001 0.302
2002 0.306
2003 0.311
2004 0.321
2005 0.340
2006 0.354
2007 0.386
2008 0.430
2009 0.380
2010 0.441
2011 0.479
2012 0.471
2013 0.467
2014 0.460
2015 0.401
2016 0.384
2017 0.385
2018 0.403
2019 0.386
2020 0.373

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