The Impact of EUR/RON Exchange Rate Policy on Romanian Exports

Abstract

This paper examines the impact of EUR/RON exchange rate policy on the exports in Romania, using monthly average values registered in the period 2006-2014. The results show that between the EUR/RON exchange rate and exports there is a significant direct relationship. The regression model was tested for estimation of the Romanian exports using the EUR/RON exchange rate in the period January 2015 - January 2016. We found that an increase of the EUR/RON exchange rate with 0.0971% determines an increase of real exports with 0.82%, that show the direct relationship is maintained. Thus, our results clearly highlight the importance of exchange rate policy in exports development