Cabo Verde - 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 Cabo Verde was 0.481 as of 2020. As the graph below shows, over the past 30 years this indicator reached a maximum value of 0.970 in 1993 and a minimum value of 0.445 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 0.803
1991 0.799
1992 0.786
1993 0.970
1994 0.661
1995 0.679
1996 0.656
1997 0.567
1998 0.530
1999 0.533
2000 0.446
2001 0.445
2002 0.459
2003 0.567
2004 0.569
2005 0.543
2006 0.557
2007 0.599
2008 0.652
2009 0.627
2010 0.593
2011 0.627
2012 0.592
2013 0.624
2014 0.624
2015 0.508
2016 0.495
2017 0.495
2018 0.515
2019 0.482
2020 0.481

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