What Money Does Romania Use?
Romania, a country located in Eastern Europe, uses the Romanian leu (RON) as its official currency. The leu has been the country’s currency since 1867, and it has undergone several changes and reforms over the years. This article will explore the history of the Romanian leu, its current characteristics, and answer some frequently asked questions about the currency.
History of the Romanian Leu:
The Romanian leu has a rich history that dates back to 1867 when it was first introduced. Initially, it was divided into 100 bani, but in 1952, the bani were replaced by the ban. The leu underwent significant devaluation during the communist era due to economic mismanagement. However, after the fall of communism in 1989, Romania began implementing economic reforms to stabilize its currency.
In 2005, Romania underwent a currency reform, where four zeros were removed from the currency to strengthen its value. As a result, 10,000 old lei were exchanged for 1 new leu. This reform aimed to tackle inflation and provide a more stable currency for the country.
Characteristics of the Romanian Leu:
The Romanian leu is denoted by the symbol RON and is subdivided into 100 bani. The coins in circulation include denominations of 1, 5, 10, and 50 bani, while banknotes come in denominations of 1, 5, 10, 50, 100, 200, and 500 lei. The banknotes feature prominent Romanian personalities, historical landmarks, and cultural symbols.
The Romanian National Bank (BNR) is responsible for issuing and regulating the currency. The BNR’s primary objective is to maintain the stability of the leu and control inflation. The exchange rate of the leu against other currencies is determined by market forces but is also influenced by the central bank to ensure stability in the economy.
FAQs about the Romanian Leu:
1. Can I use other currencies in Romania?
While some businesses in major tourist areas may accept euros or US dollars, the official currency in Romania is the leu. It is advisable to exchange your currency for leu before traveling to ensure smooth transactions.
2. Where can I exchange my currency in Romania?
Currency exchange offices can be found at airports, banks, and major cities. It is recommended to compare exchange rates and fees at different locations to get the best deal.
3. Are credit cards widely accepted in Romania?
Credit cards are generally accepted in larger establishments such as hotels, restaurants, and shopping centers. However, it is always good to have some cash on hand, especially when visiting smaller businesses or rural areas.
4. Can I withdraw cash from ATMs in Romania?
ATMs are widely available in Romania, and most accept international cards. However, it is essential to inform your bank about your travel plans to avoid any issues with your card.
5. Is it customary to tip in Romania?
Tipping is generally expected in Romania, especially in restaurants and for services like taxis or hotel staff. It is customary to leave around 10% of the total bill as a tip.
6. Can I exchange my leftover leu back to my currency?
Currency exchange offices in Romania may allow you to exchange your leu back to your currency, but it is advisable to do so before leaving the country, as it may be more challenging to find exchange offices abroad.
7. Is it safe to carry cash in Romania?
As with any destination, it is essential to take precautions when carrying cash. It is advisable to keep your money in a secure place and be aware of your surroundings, especially in crowded areas.
In conclusion, Romania uses the Romanian leu (RON) as its official currency. The leu has a fascinating history and has undergone reforms to stabilize its value. It is the only legal tender in the country, and while credit cards are widely accepted, it is still advisable to carry some cash. Remember to exchange your currency for leu before your trip and familiarize yourself with the official exchange rates to ensure a smooth financial experience during your visit to Romania.