North Macedonia - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in North Macedonia was 100.24 as of 2021. As the graph below shows, over the past 28 years this indicator reached a maximum value of 136.76 in 1995 and a minimum value of 98.06 in 2015.

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
1993 119.77
1994 123.94
1995 136.76
1996 126.28
1997 109.95
1998 102.08
1999 102.87
2000 105.45
2001 103.05
2002 102.57
2003 104.49
2004 102.97
2005 100.08
2006 99.89
2007 99.63
2008 103.88
2009 103.68
2010 100.00
2011 100.82
2012 100.03
2013 102.23
2014 101.70
2015 98.06
2016 98.30
2017 98.62
2018 99.80
2019 98.34
2020 99.50
2021 100.24

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