Romania - 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 Romania was 0.402 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.622 in 2008 and a minimum value of 0.244 in 1992.

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 0.318
1991 0.263
1992 0.244
1993 0.247
1994 0.265
1995 0.304
1996 0.284
1997 0.283
1998 0.334
1999 0.286
2000 0.284
2001 0.280
2002 0.296
2003 0.354
2004 0.389
2005 0.481
2006 0.498
2007 0.610
2008 0.622
2009 0.514
2010 0.484
2011 0.508
2012 0.451
2013 0.483
2014 0.486
2015 0.415
2016 0.393
2017 0.398
2018 0.423
2019 0.405
2020 0.402

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