BNR quotes the national currency under RON 3.7/€1

BNR announced a reference rate of RON 3.6983/€1, RON 0.214 lower than Wednesday’s rate, with the evolution of the national currency opposite to that of regional currencies. “I doubt that the leu will appreciate significantly before the authorities take concrete measures to mitigate the imbalance that is evident in the economy, and international financial markets become more stable,” according to Juan Jose Fernandez-Ansola, International Monetary (IMF) Regional Representative for Romania and Bulgaria.

In the first hour of trading, the leu appreciated significantly, reaching a low of RON 3.67/€1 due to massive foreign currency sales by non-residents and local clients, in line with positive regional evolution. At close of the session, the exchange rate was RON 3.6970-3.7/€1, RON 0.17 below the level at closing of the previous session, when it was RON 3.7140-3.7160/€1. According to a Banca Comerciala Romana (BCR) report the leu’s stability in February was helped by high ON interest rates. “The favorable evolution of the leu in February, with an average monthly appreciation of 1.1 percent, can have but a limited positive effect on February inflation, due to a significant increase in administered prices. However, the evolution of the national currency is encouraging, especially in the medium-term,” reads the BCR report.