India - 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 India was 0.296 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.324 in 2011 and a minimum value of 0.205 in 2001.

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 0.306
1991 0.247
1992 0.244
1993 0.220
1994 0.237
1995 0.238
1996 0.237
1997 0.236
1998 0.223
1999 0.220
2000 0.212
2001 0.205
2002 0.206
2003 0.221
2004 0.233
2005 0.242
2006 0.249
2007 0.292
2008 0.273
2009 0.282
2010 0.320
2011 0.324
2012 0.297
2013 0.287
2014 0.301
2015 0.294
2016 0.297
2017 0.320
2018 0.299
2019 0.300
2020 0.296

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