Real Effective Exchange Rate - Ranking 2020
In 2020, Brazil (55.58), Zambia (66.45), and Colombia (68.00) ranked highest in real effective exchange rate among all countries. Iran, Islamic Republic of ranked lowest at 167.52.
Data & analysis
- Japan — 63.91
- Korea — 84.72
- China — 89.85
- India — 90.65
- Indonesia — 92.06
In 2026, the Real Effective Exchange Rate (REER) ranking reveals a stark divergence between Asia and emerging Europe. Japan leads at 63.91, followed by Korea at 84.72, indicating that these economies maintain deeply undervalued currencies relative to their trading partners, a structural legacy of persistent deflationary pressures and export-oriented policy frameworks. The bottom of the list is dominated by Mexico at 133.55, Poland at 128.8, and Czechia at 127.14, where higher inflation and capital inflows have driven real appreciation, eroding cost competitiveness. A key structural reason for this lag is the pass-through of domestic wage growth and energy costs in these middle-income economies, which outpaces productivity gains. As global monetary conditions shift, a sustained tightening cycle in the United States could strengthen the dollar further, potentially widening the gap between Asia’s undervalued currencies and the overvalued positions of Mexico and Central Europe, thereby reshuffling the leaderboard toward even greater regional divergence.
| Rank | Country | Value | YoY % |
|---|---|---|---|