Search

The economic-financial crisis which has first hit the economies of the developed countries, affecting both the financial and real sectors has left its mark on the evolution of the exchange rates of the economies involved, triggering major Forex movements. Currencies of the developed economies were the first to be struck by the crisis, depreciating significantly against the currencies of the emerging economies. A year after the crisis had began, emerging economies have started to feel the effects of the economic crisis, as reflected by the depreciation of their own currencies against the ones of the developed economies. The underdevelopment of the Moldovan economy has so far proven to be an effective shield against the crisis, which would otherwise have first affected the national banking system. However, the real sectors of the economy may be affected by the diminished external demand and falling remittances. Therefore, the National Bank of Moldovo has to use the monetary policy instruments it has at its disposal in order to dampen the effects of the global economic-financial crisis. [ABSTRACT FROM AUTHOR]