Moldovan leu will continue to depreciate gradually during next three months, Expert-Grup

The seasonal growth in the exports of agricultural products, a possible rise in remittances typical of summer and the more evident reduction in imports compared with exports (a difference of 3-5%) will temper the depreciation of the national currency during the next months, analysts of Expert-Grup Center say. However, they consider that the gradual depreciation of the leu against the main foreign currencies that started at the beginning of the year will continue fueled by the lower supply of foreign currency and lower confidence in the national currency. Experts of the Center say that the central bank possesses the resources needed to prevent the excessive fluctuation of the official exchange rate. These instruments will be used in continuation in order to ensure a controlled depreciation. The foreign exchange reserves of the central bank at the end of April, when they reached the lowest level, were by 34.14% larger than the imports for the last three months. Since May, the reserves have grown following the purchase of foreign currency from the market (US$48.3 million). The foreign exchange reserves now total over US$1.2 billion.