The Gambia - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in The Gambia was 93.34 as of 2021. As the graph below shows, over the past 41 years this indicator reached a maximum value of 269.63 in 1980 and a minimum value of 73.36 in 2015.

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
1980 269.63
1981 258.30
1982 259.54
1983 261.58
1984 248.56
1985 266.61
1986 191.61
1987 202.02
1988 222.10
1989 214.69
1990 205.33
1991 197.21
1992 198.89
1993 212.49
1994 201.25
1995 195.18
1996 191.68
1997 197.74
1998 196.59
1999 192.03
2000 183.55
2001 158.51
2002 131.57
2003 95.24
2004 93.81
2005 99.70
2006 99.22
2007 107.56
2008 113.75
2009 102.81
2010 100.00
2011 92.49
2012 89.01
2013 81.62
2014 73.81
2015 73.36
2016 88.95
2017 90.42
2018 89.11
2019 93.19
2020 93.92
2021 93.34

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