Portugal - 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 Portugal was 0.649 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.936 in 2008 and a minimum value of 0.601 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 0.670
1991 0.704
1992 0.821
1993 0.723
1994 0.735
1995 0.818
1996 0.817
1997 0.733
1998 0.731
1999 0.704
2000 0.611
2001 0.601
2002 0.636
2003 0.758
2004 0.841
2005 0.826
2006 0.804
2007 0.886
2008 0.936
2009 0.875
2010 0.826
2011 0.867
2012 0.778
2013 0.775
2014 0.769
2015 0.649
2016 0.633
2017 0.650
2018 0.675
2019 0.645
2020 0.649

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