Switching the Lei to Euro
Not all countries in the European Union are using the Euro– and Romania is among them. So, when you travel to Romania you have to change Romania currency to Euro.
There has always been speak about Romania switching to utilizing Euros and today I will attempt to address the burning question: When will Romania switch to Euro?
I will certainly start by claiming something that will certainly surprise many individuals. There are very few locations in the country where you can pay with Euros. In those couple of places usually, touristy ones the currency exchange rate will certainly be extremely, really poor.
To put it simply, right now, your best choice and actually the only option is that of trading your United States Dollars or Euros right into Lei, the national money.
And you’ll still need to do that for a long time starting from now on since Romania doesn’t have any plans to change Lei to Euro anytime quickly although historically, every couple of years, authorities asserted that the nation is really close to changing.
There has constantly been prepare for switching to utilizing EU’s money and the dates have actually always been pushed back in the long run. There are different factors for that, consisting of:
- the really reduced wages and buying power of the Romanians and also the Romanian Leu (currently, in September 2020, the exchange rate ron to eur is:1 Euro costs 4.84 lei)
- the fact that people are still confused regarding using the single-digit currency. Most individuals still speak in hundreds of thousands and millions when referring to rates, despite the fact that 4 zeros have been removed a few years ago to help the Romania currency with the change (up until several years ago, the 10 lei bill was 100,000 lei, as well as the 100 lei bill, was 1 million).
So… when will switch Romania currency to Euro?
According to the initial estimate, the switching moment when Romania will certainly change Lei the Euro was planned to be in 2015.
But in reality, things have been pushed back to 2019, however current discussions have actually pushed back the day even additionally. Back in 2017, the official day considered for Romania to switch to making use of EUROs was sometime in 2022.
In the meantime, the date has been pushed back again and also now the officials claim that Romania will certainly change to utilizing the Euro in 2024.
In 2018, the Romanian parliament really created a strategy to make the transition to the new money. This, after in 2017, the foreign minister of the nation was already declaring that the nation fulfils all the demands to take on the Euro.
He claimed that the switch moment was postponed deliberately in order to protect the low-income individuals (especially the older people who get state pension– and also it prevails for many to have pension plans of under 100 Euros per month).
Nevertheless, despite the official comments, the European Commission and also European Central Bank had a different viewpoint and also wrapped up, in late 2016, that Romania still doesn’t meet the criteria for signing up with the Euro area and change lei to Euro.
Romania’s central bank governor Mugur Isarescu, lately declared that Romania will switch to Euro by the end of the decade. (Source here from a famous local newspaper, in the Romanian language).
To put it simply, if you’re preparing a trip to Romania in the future– and even a couple of years from currently, you will more than likely still have to utilize the current Leu currency as well as not the Euro.
My personal opinion is that just after 2025 if all goes well, the nation will certainly be ready to make the change and to adopt the Euro.
But switch Romania currency to Euro is something wanted by everybody?
Very few people comprehend the impact that adopting the Euro would certainly have on their lives as well as more do not actually care.
It is, up to a point, really tough to anticipate the complete effects switching over to euros would have on the country’s economic climate and its individuals. Yet most forecast some tough times if we were to switch over to using Euros, at the very least at the existing state/rates and earnings that people earn in the nation.
With these in mind, the number of individuals who want Romania to change Lei to Euro is going down.
As an example, in 2014, 74% of the Romanians wanted to switch over to Euro, however, the portion went down to 68% in 2015 and maintained going down all the way to 55% in late 2016. Unfortunately, I cannot find more current data about this subject.
With all these in mind, I still believe that the 2024 quote is a little bit too optimistic, to say the least, but I am pretty sure that Romania will certainly remain with lei (Romania currency) for a long time from now on.
There will constantly be delays unless the bigger players in the Union will certainly have any interest to force the switch Romania currency to Euro.
This implies that those gaining income in international money will certainly still have more to acquire and also a greater purchasing power in the nation.
Also, if you are intending to visit, you need to make sure you get Romania leu with you or you can exchange your money at various exchange offices or bank offices. There is also the third option so you can withdraw from ATM and pay directly with your credit or debit card.
The process of adopting the Euro (change lei to euro) is very complicated and difficult. It will pass many years until Romania will switch to the Euro.
What do you think about Romania situation and the process of adopting euro? Do you think this should happen as quickly as possible or is better for this country to stay with its national currency lei?