Burundi - Real effective exchange rate index (2010 = 100)

The value for Real effective exchange rate index (2010 = 100) in Burundi was 116.73 as of 2021. As the graph below shows, over the past 42 years this indicator reached a maximum value of 248.95 in 1983 and a minimum value of 81.30 in 2004.

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
1979 188.51
1980 173.66
1981 209.59
1982 230.73
1983 248.95
1984 230.69
1985 235.55
1986 202.71
1987 173.37
1988 152.80
1989 154.86
1990 135.99
1991 139.15
1992 121.72
1993 119.09
1994 123.36
1995 130.28
1996 134.33
1997 158.93
1998 145.02
1999 119.33
2000 123.66
2001 118.64
2002 103.35
2003 84.40
2004 81.30
2005 89.02
2006 91.67
2007 86.63
2008 88.89
2009 96.75
2010 100.00
2011 100.89
2012 102.70
2013 100.63
2014 104.40
2015 117.85
2016 119.36
2017 129.68
2018 118.31
2019 114.68
2020 116.06
2021 116.73

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