Euro / Czech koruna - EUR/CZK

National currency of the Czech Republic since 1993 (after the dissolution of the “eastern countries bloc” and of the Socialist Republic of Czechoslovakia) and floating against the other world currencies since 1997, the Czech koruna (CZK) clearly appreciates against the Euro between 2004 and 2008.

A member of the European Union since 2004, the Czech Republic doesn’t join the ERM II (Exchange Rate Mechanism II) that defines the convergence criterion with the aim of joining the Euro area (government deficit inferior to 3% of the GDP, public debt inferior to 60% of the GDP, controlled inflation).

At the beginning, the Czech government’s ambition was to join the Euro area in 2012, by the schedule had been suspended in 2007, after the opposition of most of the Czech voters and in particular of the Liberal party ODS.

Waiting for entering the Euro area, the EUR/CZK cross has an intense activity on the Forex, the daily volumes of the negotiation reach $5 billion on this cross.

From a EUR/CZK exchange value equal to 35.530 in January 2001, the EUR/CZK cross first decreases (as the Euro depreciates against the Czech koruna) until July 2002 (EUR/CZK = 29.275), then a bullish tendency quite assessed until March 2004 (EUR/CZK = 33.171).

From the second semester of 2004 and after the integration of the Czech Republic in the European Union, the Czech koruna keeps increasing against the Euro until a higher point (the lower for the EUR/CZK cross) reached on July, 21 2008, EUR/CZK = 22.968.

Then, the Euro quickly appreciates again in the context of the stock-exchange and financial during the Fall of 2008 until a EUR/CZK value equal to 28.847 reached in February 2009.

Then an adjustment happened, as the Czech Koruna appreciates again but with moderated proportions: EUR/CZK = 25.870 in October 2009.