Azerbaijan - 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 Azerbaijan was 0.292 as of 2020. As the graph below shows, over the past 28 years this indicator reached a maximum value of 0.486 in 2011 and a minimum value of 0.015 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
1992 0.015
1993 0.065
1994 0.060
1995 0.136
1996 0.173
1997 0.200
1998 0.202
1999 0.191
2000 0.194
2001 0.187
2002 0.183
2003 0.191
2004 0.203
2005 0.234
2006 0.268
2007 0.329
2008 0.430
2009 0.354
2010 0.398
2011 0.486
2012 0.470
2013 0.458
2014 0.452
2015 0.368
2016 0.270
2017 0.294
2018 0.326
2019 0.319
2020 0.292

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