Zambia - 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 Zambia was 0.285 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.525 in 2013 and a minimum value of 0.210 in 2000.

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 0.277
1991 0.276
1992 0.258
1993 0.243
1994 0.291
1995 0.288
1996 0.252
1997 0.285
1998 0.233
1999 0.211
2000 0.210
2001 0.222
2002 0.214
2003 0.230
2004 0.265
2005 0.321
2006 0.443
2007 0.439
2008 0.509
2009 0.395
2010 0.469
2011 0.503
2012 0.515
2013 0.525
2014 0.498
2015 0.390
2016 0.376
2017 0.441
2018 0.421
2019 0.361
2020 0.285

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