Cyprus has agreed to shut down its second largest lender and restructure its banking system in exchange for the financial package.
The leu closed at 4.413/4.4135 per euro, 0.3% stronger from 4.426 per euro at Friday close.
It had opened up at 418/4.421 to the euro and further appreciated, supported by growing foreign currency sales.
The central bank set the leu’s reference at 4.4154 versus the euro, up from this year’s low of 4.4286 units recorded Friday. Against the US dollar, the leu’s indicative won 0.8% on the day to 3.3948 units.
In the money market, overnight rates rose to 4.9%-5.4% a year, from 1.9%-2.4% a year Friday, as lenders start building up their mandatory monthly reserve requirements.