REER
Business & Finance abbreviation · Economics
| Stands for | Real effective exchange rate |
|---|---|
| Categories | Business & Finance |
REER stands for Real effective exchange rate, an economics abbreviation.
Trade-weighted average of a currency's exchange rates against its trading partners, adjusted for differences in inflation. A rising REER means a country's goods are becoming more expensive relative to competitors'.
Example: The franc's REER is at a record high, squeezing Swiss exporters' margins.
Usage notes
The nominal version, without inflation adjustment, is the NEER. The Bank for International Settlements and the IMF publish REER series for many countries. Economists compare a REER with its long-run average to judge whether a currency looks overvalued or undervalued.
Related abbreviations
More economics abbreviations
- PPP – Public-private partnership
- PSU – Public sector undertaking
- QE – Quantitative easing
- QT – Quantitative tightening
- RBA – Reserve Bank of Australia
- RBI – Reserve Bank of India
- RPI – Retail Prices Index
- SDR – Special drawing rights
- SEZ – Special economic zone
- SNB – Swiss National Bank
- SOE – State-owned enterprise
- TFP – Total factor productivity