Nepal - 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 Nepal was 0.288 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.349 in 2011 and a minimum value of 0.169 in 2003.

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 0.240
1991 0.236
1992 0.192
1993 0.194
1994 0.195
1995 0.200
1996 0.192
1997 0.195
1998 0.185
1999 0.181
2000 0.182
2001 0.173
2002 0.171
2003 0.169
2004 0.181
2005 0.190
2006 0.198
2007 0.213
2008 0.239
2009 0.233
2010 0.273
2011 0.349
2012 0.321
2013 0.305
2014 0.287
2015 0.301
2016 0.301
2017 0.294
2018 0.305
2019 0.290
2020 0.288

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