Photo of the Week: Falling Currency

Falling Forint

The Hungarian forint is now reaching all time lows. I’ve been watching the exchange rates and seeing the forint drop steadily. When I arrived in Budapest, the exchange rate was about 188 Ft to the Canadian dollar. Now its hovering around 220 Ft to a dollar.

The Euroshop is similar to a dollar store. Everything in the store is priced at the same level. All through summer and up until recently, within the last week, the price was at 350 Ft. Now they’ve raised it slightly to 390 Ft for each item.

Last week, Hungary started discussions with the International Monetary Fund. Moody’s has also downgraded Hungary’s rating to junk status due to its high levels of debt and low prospects for growth.

However, not all is bleak. Apparently today, the forint grew stronger – the strongest its been in more than a week.