The relationship between exchange rate volatility and import value indices is one of the important debates in international finance literature and has been considered empirically in recent years. Hence, the main aim of this paper is to evaluate the long-run effect of exchange rate volatility on the import unit value index as a proxy for exchange rate pass-through in two groups of countries with the exchange rate anchor versus inflation targeting monetary regime over the period of 1990-2015. For achieving this purpose, 15 and 43 countries have been selected as countries with exchange rate anchor and inflation targeting monetary policy regime. The econometric model has been estimated by applying ARDL[1] approach in panel data for these two groups of countries. Empirical findings of present study indicated that exchange rate volatility has negative effect on the unit value of imports in the two groups of countries. Moreover, interaction effect of monetary regime and nominal effective exchange rate has positive and significant influence on the import unit value index in two groups of countries. JEL Classification: C23:E23:F31 <br clear="all" /> [1] . Auto-regressive Distributed Lag
