Igor Dodon: The euro has dropped because of excess currency on external markets

The euro has dropped to its record low because of excess currency on external markets, which, in turn, is generated by rising exports, transfers and foreign investment, Finance Minister Igor Dodon said on Tuesday, Info-Prim Neo reports. According to Dodon, what happens to the euro locally is a reflection of the trends on the international markets, in a similar euro-dollar pattern. The Moldovan authorities admit that the depreciation of currencies is a problem for Moldova as well, promising measures to change the trends registered over the past few weeks. In Moldova, this is a new challenge for exporters, because a stronger national currency makes them less competitive on the external markets, but also on the domestic market against imports, said Dodon. He went on to add that the National Bank was not able to cope with that excess currency all by itself. Furthermore, the interventions by the central market are leading to price hikes. “A solution would be to create another instrument for interventions on the currency market, besides the National Bank”, concluded Dodon.