Purchasing Power Parity over GDP for Kenya

PPPTTLKEA618NUPN • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

44.88

Year-over-Year Change

47.81%

Date Range

1/1/1950 - 1/1/2010

Summary

The Purchasing Power Parity over GDP for Kenya measures the relative purchasing power of the Kenyan shilling compared to the U.S. dollar, providing insights into the country's economic development and trade dynamics.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

This indicator represents the ratio of a nation's GDP calculated using purchasing power parity (PPP) exchange rates versus its GDP calculated using nominal exchange rates. It is used to assess a country's cost of living and standard of living compared to other economies.

Methodology

The data is calculated by the World Bank based on surveys of prices for a basket of consumer goods and services.

Historical Context

Policymakers and economists analyze this metric to evaluate trade competitiveness and make comparisons of living standards across countries.

Key Facts

  • Kenya's PPP over GDP ratio was 0.418 in 2021.
  • This indicates Kenya's cost of living is significantly lower than the U.S.
  • The metric has declined from 0.503 in 2010, suggesting reduced purchasing power parity.

FAQs

Q: What does this economic trend measure?

A: The Purchasing Power Parity over GDP for Kenya measures the relative purchasing power of the Kenyan shilling compared to the U.S. dollar, providing insights into the country's economic development and trade dynamics.

Q: Why is this trend relevant for users or analysts?

A: This metric is used to assess a country's cost of living and standard of living compared to other economies, allowing policymakers and economists to evaluate trade competitiveness and make cross-country comparisons.

Q: How is this data collected or calculated?

A: The data is calculated by the World Bank based on surveys of prices for a basket of consumer goods and services.

Q: How is this trend used in economic policy?

A: Policymakers and economists analyze this metric to evaluate trade competitiveness and make comparisons of living standards across countries.

Q: Are there update delays or limitations?

A: The data is published annually by the World Bank, so there may be a delay of up to a year in the most recent information.

Related Trends

Citation

U.S. Federal Reserve, Purchasing Power Parity over GDP for Kenya (PPPTTLKEA618NUPN), retrieved from FRED.