Moldovan Leu

Overview

The Moldovan Leu is the official currency of Moldova. The Leu is subdivided into 100 bani. The name Leu is derived from Romanian and means lion. The Moldovan Leu was created after Moldova became independent from Romania. Previously, the Romanian Leu had been in circulation.

Economy

• Moldova has experienced economic crises and other challenges, but the government has remained solid and focused on gradual economic growth and development. GDP growth reached 2.1% in the year 2000, and an increased growth rate was achieved in 2001.
• The Moldovan economy is negatively affected by elevated fuel prices, poor weather and agricultural conditions, and uncertainty of foreign investors about the country’s trading ability.

History

• From 1918 to 1940 and from 1941 to 1944, Moldova was a part of Romania. The Romanian Leu was the country’s currency, including eastern Moldova.
• The Moldovan Leu was introduced on November 29, 1993, after the breakdown of the Soviet Union. When Moldova became independent from Romania, the Moldovan Leu replaced the cupon currency at the rate of 1 Leu = 1,000 Cupon.
• In Transnistria, a partially recognized state claimed by Moldova, the currency unit is the Transnistrian Ruble, not the Moldovan Leu.