Stronger currencies in Central and Eastern Europe in 2015, including Romania

The financial soundness of the Central and Eastern Europe countries will lead to stronger currencies in the region, including the Romanian currency leu (RON), in 2015, despite the declines recorded in recent weeks, according to a survey carried out by news agency Reuters among financial analysts, cited by local Mediafax. The Romanian leu might appreciate by 2.2% to 4.4 units per 1 EUR, while the Hungarian currency forint might appreciate by 3.2% this year, to 310 units per 1 EUR and the Czech koruna by 1.1% to 27.37 units per 1 EUR. Romania’s National Bank (BNR) decided yesterday to reduce the monetary policy interest rate by 0.25% to 2.5% per year, marking a new record low. The move was expected by most analysts, as the inflation was below the BNR target, and triggered speculation that Poland and Hungary will do the same. BNR’s Governor Mugur Isarescu said yesterday that the central bank will continue to monitor the exchange rate and that he expects a steady evolution in 2015. editor@romania-insider.com