Hong Kong SAR, China - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in Hong Kong SAR, China was 124.61 as of 2021. As the graph below shows, over the past 31 years this indicator reached a maximum value of 153.40 in 1998 and a minimum value of 90.93 in 1990.

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
1990 90.93
1991 93.39
1992 91.78
1993 100.83
1994 106.05
1995 108.69
1996 121.30
1997 135.65
1998 153.40
1999 147.96
2000 146.69
2001 151.90
2002 145.64
2003 129.15
2004 116.10
2005 112.03
2006 109.62
2007 106.13
2008 101.57
2009 102.23
2010 100.00
2011 97.97
2012 104.37
2013 109.45
2014 112.44
2015 121.14
2016 122.37
2017 122.94
2018 121.44
2019 127.32
2020 132.46
2021 124.61

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