June 23, 2022
Purchasing Power Parity in Türkiye (Temp), 2021
GDP per capita index in Türkiye based on PPP for 2021 was 64
Purchasing power parities (PPPs) are currency conversion rates that are applied in order to convert economic indicators from national currency to an artificial common currency which equalizes the purchasing power of different national currencies and enables meaningful volume comparisons between countries.
According to the preliminary results of the European Comparison Program for 2021 gross domestic product (GDP) per capita index based on purchasing power parity in Türkiye was 64 whilst the average for 27 European Union (EU) countries was 100 and Türkiye’s GDP per capita index was 36% below the EU average.
The country groups included in the comparison were the 27 member states of European Union, 3 European Free Trade Association (EFTA) countries (Switzerland, Iceland and Norway), 5 candidate countries (Türkiye, North Macedonia, Montenegro, Serbia and Albania) and 1 potential candidate country (Bosnia and Herzegovina).
Among 36 countries involved in the comparison, the country with the highest index of GDP per capita was Luxembourg with 277 and the country with the lowest index of GDP per capita was Albania with 32. Luxembourg had GDP per capita being 177% above the EU-27 average whereas Albania 68% below the EU-27 average.
GDP per capita indices based on PPP, 2021
[EU27=100]
Source: Eurostat
The actual individual consumption (AIC) per capita in Türkiye was 71 in 2021
While GDP per capita is mainly an indicator of the level of economic activity, actual individual consumption (AIC) per capita is an alternative indicator better adapted to describe the material welfare situation of households. AIC consists of goods and services actually paid or purchased by consumers as well as provided freely by government, or by non-profit organizations (education, health care etc.).
AIC per capita in Türkiye was 71 whereas the average of 27 EU member countries as 100 and 29% below the EU-average. Among the 36 countries included in the comparison, Luxembourg had the highest actual individual consumption per capita with 146, while Albania had the lowest with 39.
Actual individual consumption per capita, 2021
[EU27=100]
Source: Eurostat
The price level index for actual individual consumption in Türkiye was 35
Price level index is an indicator of purchasing power of national currencies according to currency conversion rates. If a country’s price level index is higher than 100, the country is concerned relatively “expensive” to the average of compared country group and if it is lower than 100 then it is relatively “cheap” against the same compared group.
According to the preliminary results for 2021, price level index for AIC was 35 for Türkiye. This figure represents that the same basket of goods and services purchased for the cost of 100 Euros in total of 27 European Union countries, could be purchased for 35 Euros in Türkiye.
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EXPLANATIONS
Results given in this news bulletin published by Eurostat, are calculated within the programme of organized by Eurostat in collaboration with OECD.
Source: Turkish Statistical Institute (TurkStat)
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