Moldovan Leu became the most stable currency in the region


The Moldovan Leu maintains a strong position against the US dollar. Such a conclusion was made by economist Vyacheslav Ionitsa, who compared the currencies of our country's trading partners, actualitati.md reports. He developed a Currency Indicator Moldova -10 (VPM-10), which consists of 10 currencies of the main trade and economic partners of Moldova.

According to the research, after three weeks of strengthening against VPM-10, last week the Moldovan leu slightly depreciated - by 0.29% compared to VPM-10, however, since the beginning of the year, the national currency has strengthened by 2.01%. At the same time, he notes that all currencies from the basket depreciate against the US dollar, while regional currencies suffered the most losses due to the crisis.

Moldovan Leu became the most stable currency in the region

From the beginning of the year, the Russian ruble lost -27.22%, the Ukrainian hryvnia -17.43%, the Czech koruna -11.33% and the Polish zloty -10.76%.

The economist notes that while the currencies of the trading partners lose their strength against the dollar, the Moldovan leu is cheapening much more slowly. The Romanian leu is showing similar dynamics.

Moldovan Leu became the most stable currency in the region

The strong position of the national currency in the region, on the one hand, allows maintaining a low level of import prices, which is beneficial for the population, but on the other hand, the competitiveness of economic agents is reduced, which is an obstacle to the export of Moldovan goods to the countries of the region,” Ionitsa said .

Moldovan Leu became the most stable currency in the region

He recommends that the National Bank restrain the exchange rate through interventions, but “not too significant”, in order to ensure the competitiveness of the Moldovan companies in the foreign markets.


Published: 16:40 30/03/2020

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