Taiwan's REER Remains Lower than S. Korea's for 13th Straight Month in July

The real effective exchange rate (REER) index for the New Taiwan dollar posted at 101.03 in July, lower than 101.24 of a month earlier and lower than that of the South Korean won for the 13th consecutive month, according to the statistics released by the Bank for International Settlement (BIS).

In the same month the REER of the Korean won stood at 112.58. Taiwan's REER index being lower than S. Korea's means Taiwan can offer lower export quotation than its major trade rival—S. Korea, hence making Taiwan's export in July show positive growth for the sixth straight month.

REER is the weighted average of a national  currency relative to an index or basket of other major currencies adjusted for inflation. (JL)