The weights of currencies in the baskets that are used to calculate the broad and narrow -merchandise and –trade weighted indexes have been updated. The weights are determined on the basis of Iceland’s external trade in 2008. The last review was made in December 2008. The revised baskets will be used as of January 1st 2010, until the next annual review.
The weights are determined on the basis of the composition of Iceland’s external trade during the previous year. The aim is for the baskets to reflect as closely as possible the composition of Iceland’s external trade in both goods and services. '
Main changes from the previous baskets are the following.
Narrow merchandise (A) and narrow trade basket (C):
The Australian Dollar is added to the baskets.
Broad merchandise (B) and broad trade basket (D):
The Australian Dollar is added to the baskets and the Turkish Lira is excluded from the baskets.
The most significant other changes are that the weight of the Norwegian Krona increases somewhat and the weight of the US dollar diminishes.