The leu closed at 4.533/4.534 per euro, from 4.5375/4.5399 per euro Friday. The national currency lost around 2% against the euro since the middle of last week, after the ruling socialist-liberal coalition moved to impeach President Traian Basescu. Friday evening, the lawmakers suspended Basescu, who will face a referendum on July 29.
“Investors are waiting to see if Romania meets its commitments assumed under the IMF agreement,” said one dealer.
In 2011, Romania signed a EUR5 billion loan agreement and the IMF and the EU, successor to a larger EUR20 billion financing program extended between 2009 and 2011. The country has treated the new deal as precautionary and hasn’t drawn any funds so far.
The leu opened up on the day at 4.52/4.523 per euro, but lost steam in the second half of the session, trading above 4.53 per euro until closing.
The central bank set the leu’s reference at 4.45275 to the euro, a new historic low. The leu’s indicative weakened to an all-time low against the US dollar as well, trading at 3.6848 units.
In the money market, overnight rates were flat at 4.9%-5.4% a year.