The euro “collapses”, the lek also hits the dollar

The lek continues to gain points against the euro and the dollar in the local market as rarely before. During today’s day, according to the Bank of Albania, one euro was exchanged for 116.61 ALL, losing 0.24 ALL since Friday last week.

This is one of the lowest levels of the Euro/Lek ratio in recent years, reflecting a large flow of circulation of this currency in the local market.

The situation seems somewhat similar in the USD/Lek ratio, where the American currency is quoted today at 113.83 Lek, losing 1.27 Lek compared to Friday.

The tourist season as well as the statements about the fiscal amnesty seem to be the main influencers in this exchange rate of our currency with the euro and the dollar.

The signals from the real estate market are strong that in recent weeks there has been a large influx of sales due to the large amount of currency circulating in the country.

This exchange rate favors all those who have credit in the European currency and income in Lek as well as importers, while it disadvantages exporters and those who have income in Euro.

It’s a good time to be an American traveling abroad. The value of the U.S. dollar has been at its strongest in years relative to many major global currencies of late— meaning travelers can buy more overseas than in the recent past. Put another way, Americans are effectively getting a discount on hotels, car rentals, tours and other goods and services denominated in many foreign currencies. But it’s unclear how long the good times will last. Some may wonder: Should I act now to lock in a favorable exchange rate?

“I’d pull the trigger now,” said Aiden Freeborn, senior editor at travel site The Broke Backpacker.

“You could hedge and wait to see if things improve, but that could backfire,” he added. “Don’t be too greedy; accept the fact this is a very strong position.”/

Leave a Reply

Your email address will not be published.