TALLINN - The Estonian kroon is 22 percent undervalued, according to the latest Big Mac index published by The Economist.
The average price of a Big Mac in four American cities is $2.90, including tax. Converted into dollars, a Big Mac in Estonia costs $2.27.
Lithuania's litas, which like the kroon is pegged to the euro, is also 22 percent undervalued, whereas the euro (based on the weighed average of Big Mac prices in the euro area) is 13 percent overvalued in comparison with the dollar. The ratio last year was 10 percent.
The Latvian national currency, the lat, is 31 percent undervalued, according to the Big Mac index.
The cheapest Big Mac shown in the table was in the Philippines and cost $1.23, and the most expensive could be purchased in Switzerland at $4.90.
