Through repo auctions the central bank offers cash to commercial lenders and in exchange gets government securities, at the monetary policy interest rate of 5.25% a year. The amounts are borrowed over one week.
Two weeks ago, he central bank started again to limit the amounts lent through repo auctions. However, the leu weakened against the euro for the fifth consecutive session on Friday, to RON4.5809 to the euro, an 11-week low for the Romanian currency.
(English version by Daniela Stoican)