Exchange Rate Pass-Through in Romania

WPIEA1302003 Image
Price:  $15.00

Author/Editor: Nikolay Gueorguiev
Release Date: © June, 2003
ISBN : 978-1-45185-521-0
Stock #: WPIEA1302003
Stock Status: On back-order

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Quantifying the size and speed of the exchange rate pass-through to prices is important for formulating monetary policy decisions in Romania. Using a recursive VAR model, this paper finds that (i) the pass-through is large and relatively fast, accounting for a sizable fraction of inflation; (ii) the pass-through from the exchange rate against the U.S. dollar is larger, if not faster, than the one from alternative exchange rate benchmarks; and (iii) the pass-through to producer prices seems to have moderated recently, while the same cannot be said yet for consumer prices.


Economic policy , Foreign exchange , Inflation , Monetary policy

More publications in this series: Working Papers

More publications by: Nikolay Gueorguiev