The news I got today from Bloomberg is that my home country’s currency, the Moldovan Leu (MDL) is the world’s second best-performing currency. I was a bit surprised, I mean I wasn’t aware it has grown that much to be named world’s second best-performing currency, but it did appreciated a lot in the past few months and I wasn’t very happy about it since my income comes mostly in foreign currencies.
This announcement was made by Michael Ganske, head of emerging-markets research in London at Commerzbank AG. He named it “the undiscovered carry trade” currency and I’ll quote here a few things he mentioned about the Moldovan Leu: “the currency will appreciate a lot as the central bank has a strong commitment to controlling inflation and they want to attract foreigners into the country” … “it offers real opportunities to small portfolios”… “Moldova is a real potential carry-trade market” … “the rates are definitely attractive for investors”. Here is the link to the Bloomberg story on Moldovan Leu’s carry potential.