South Africa - 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 South Africa was 0.423 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.658 in 2011 and a minimum value of 0.306 in 2002.

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 0.487
1991 0.510
1992 0.553
1993 0.533
1994 0.527
1995 0.561
1996 0.502
1997 0.497
1998 0.443
1999 0.422
2000 0.397
2001 0.338
2002 0.306
2003 0.445
2004 0.538
2005 0.559
2006 0.541
2007 0.548
2008 0.494
2009 0.520
2010 0.631
2011 0.658
2012 0.622
2013 0.549
2014 0.514
2015 0.457
2016 0.419
2017 0.483
2018 0.493
2019 0.464
2020 0.423

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