Estimated Exchange Rate Opportunities Generated by the COVID-19 Pandemic in Romania in 2020

Abstract

The purpose of this study is to evaluate the impact of COVID-19 pandemic in Romania in 2020 over the estimated exchange rate and also identifies the magnitude of the depreciation of the national currency at the end of 2020. Appreciating the economic impact of this epidemic, as well as a worsening of the macroeconomic situation in Romania, accelerated starting with October 10, 2020, it is estimated that these negative effects will be felt until the end of 2020, when the EUR / RON exchange rate can reach the threshold of 4.9295 RON. In this fiscal context, international investors began to prefer investments in safer assets, such as gold, which recorded the highest price in the last 7 years.