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Exchange Rate Arrangements in Central and Eastern European Countries – Evolutions and Characteristics

Toma, Ramona (2007): Exchange Rate Arrangements in Central and Eastern European Countries – Evolutions and Characteristics.

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Abstract

The process of choosing the exchange rate regime for the new EU member states has been influenced by other criteria than the traditional ones, which belong to macroeconomic criteria. This paper make a comparative analyze of the exchange rate arrangements in Central and Eastern European after 1990. These arrangements are dynamic on the one hand due to their permanent diversification and on the other hand because the values established this way are rapidly changing. In essence, they differ according to the degree of flexibility adopted when the exchange rate is established: from more rigid forms – currency board or pegging the currency to a foreign currency – to free floating.

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