Eritrea | Official exchange rate (LCU per US$, period average)
Official exchange rate refers to the exchange rate determined by national authorities or to the rate determined in the legally sanctioned exchange market. It is calculated as an annual average based on monthly averages (local currency units relative to the U.S. dollar). 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: Official or market exchange rates are often used to convert economic statistics in local currencies to a common currency in order to make comparisons across countries. Since market rates reflect at best the relative prices of tradable goods, the volume of goods and services that a U.S. dollar buys in the United States may not correspond to what a U.S. dollar converted to another country's currency at the official exchange rate would buy in that country, particularly when nontradable goods and services account for a significant share of a country's output. An alternative exchange rate - the purchasing power parity (PPP) conversion factor - is preferred because it reflects differences in price levels for both tradable and nontradable goods and services and therefore provides a more meaningful comparison of real output. Statistical concept and methodology: The exchange rate is the price of one currency in terms of another. Official exchange rates and exchange rate arrangements are established by governments. Other exchange rates recognized by governments include market rates, which are determined largely by legal market forces, and for countries with multiple exchange arrangements, principal rates, secondary rates, and tertiary rates.
Publisher
The World Bank
Origin
State of Eritrea
Records
63
Source
Create chart Download showed records Download Full dataset
Eritrea | Official exchange rate (LCU per US$, period average)
2.48669052 1960
2.48669052 1961
2.48669052 1962
2.48798333 1963
2.50220419 1964
2.50220419 1965
2.50220419 1966
2.50220419 1967
2.50220419 1968
2.50220419 1969
2.50220419 1970
2.49567343 1971
2.30202785 1972
2.10060042 1973
2.07182507 1974
2.07182507 1975
2.07182507 1976
2.07182507 1977
2.07182507 1978
2.07182507 1979
2.07182507 1980
2.07182507 1981
2.07182507 1982
2.07182507 1983
2.07182507 1984
2.07182507 1985
2.07182507 1986
2.07182507 1987
2.07182507 1988
2.07182507 1989
2.07182507 1990
2.07182507 1991
2.80497089 1992
5.00440838 1993
5.46981835 1994
6.16376298 1995
6.35727511 1996
6.75882178 1997
7.36193042 1998
8.15263333 1999
9.625 2000
11.30945208 2001
13.95819417 2002
13.87789058 2003
13.7875 2004
15.36791667 2005
15.375 2006
15.375 2007
15.375 2008
15.375 2009
15.375 2010
15.375 2011
15.375 2012
15.375 2013
15.375 2014
15.375 2015
15.35 2016
15.075 2017
15.075 2018
15.075 2019
15.075 2020
15.075 2021
15.075 2022
Eritrea | Official exchange rate (LCU per US$, period average)
Official exchange rate refers to the exchange rate determined by national authorities or to the rate determined in the legally sanctioned exchange market. It is calculated as an annual average based on monthly averages (local currency units relative to the U.S. dollar). 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: Official or market exchange rates are often used to convert economic statistics in local currencies to a common currency in order to make comparisons across countries. Since market rates reflect at best the relative prices of tradable goods, the volume of goods and services that a U.S. dollar buys in the United States may not correspond to what a U.S. dollar converted to another country's currency at the official exchange rate would buy in that country, particularly when nontradable goods and services account for a significant share of a country's output. An alternative exchange rate - the purchasing power parity (PPP) conversion factor - is preferred because it reflects differences in price levels for both tradable and nontradable goods and services and therefore provides a more meaningful comparison of real output. Statistical concept and methodology: The exchange rate is the price of one currency in terms of another. Official exchange rates and exchange rate arrangements are established by governments. Other exchange rates recognized by governments include market rates, which are determined largely by legal market forces, and for countries with multiple exchange arrangements, principal rates, secondary rates, and tertiary rates.
Publisher
The World Bank
Origin
State of Eritrea
Records
63
Source
Create chart Download showed records Download Full dataset