TWI, Trade weighted exchange rate
The TWI is a nominal effective krone exchange rate calculated on the basis of NOK exchange rates against the currencies of Norway's 25 main trading partners (geometric average using the OECD's trade weights (pdf)). The index is set at 1990 = 100. A rising index value denotes a depreciating krone exchange rate.
As of 4 February 2008, the composition of the TWI trading partner aggregate was changed, on the basis of the latest available weights from the OECD. Greece, Hungary, Taiwan and Thailand were excluded from the index, and Turkey, Russia, Hong Kong and China were included.
I-44, Import-weighted krone exchange rate
Calculation of the I-44
The I-44 index is a nominal effective exchange rate index based on NOK exchange rates as measured against the currencies of Norway’s most important trading partners. The index is set at 1995 = 100. A rising index indicates a depreciating krone.
The I-44 is calculated as a geometric weighted average of the exchange rates of 44 countries. The weights (xls) are updated on an annual basis and are calculated using Statistics Norway’s statistics for imports to Norway from the 44 largest countries in terms of import value. The country composition varies. In 2010 the 44 largest countries covered 96.9 per cent of total imports.
The weights are calculated on the basis of one year’s imports and are applied as from the second weekday in September in the following year.
The index is calculated using the same methodology as for the TWI.
The index is also described in more detail in a box in Inflation Report 1999/1 (pdf, 140 kB).