Cyprus has negotiated a EUR10 billion aid deal to recover from financial losses incurred because of the situation in Greece. The agreement, subject to a parliamentary vote this week, would have Cyprus depositors pay a one-time fee of 6.75% on deposits under EUR100,000 and of 9.9% on deposits above that amount.
The news has sent European stocks lower while the US dollar rallied against the euro ahead of the vote.
Romania’s leu closed at 4.412/4.415 to the euro, from 4.3915/4.393 to the euro Friday. It opened at 4.396/4.4025 per euro and further depreciated, trading near 4.42 per euro for most of the day.
The central bank set the leu’s reference at 4.417 versus the euro, the weakest level in ten weeks. Against the US dollar, the leu’s indicative dropped 1.3% to 3.4088 units.
In the money market, overnight rates were flat at 1%-1.5% a year, amid excess liquidity.