The euro is one of the most influential currencies in the Uruguayan market. (Infobae)
After the stock market opening, the euro is traded at the beginning of the session at 42.42 Uruguayan pesos on average, so that it implied a change of 0.77% compared to the 42.09 Uruguayan pesos on average of the previous day.
In the last week, the euro registers a rise of 1.25%; On the contrary, from a year ago it still maintains a decrease of 8.22%.
In relation to the variations of this day with respect to previous days, it accumulates three consecutive sessions in green. In the last week, volatility presents a clearly lower performance than the volatility reflected in the figures for the last year, which shows that it is having a more stable behavior than usual in recent times.
Diagnosis of the Uruguayan peso
The peso has been the official circulation currency in Uruguay since 1993 and replaced the old pesos after the country suffered a period of high inflation.
It was from October 29, 1991 when the Central Bank of Uruguay was authorized to issue new bills to remove the old Uruguayan pesos that were equivalent to 1,000 new pesos. The coin began to circulate until March 1993.
In the 1990s, a new mechanism was introduced to more accurately forecast the value of the peso against the dollar, establishing a system of floating bands.
Later, in 2002 with Jorge Batlle as president, Uruguay experienced a financial crisis due to capital flight, making it difficult to control the exchange market until months later it was decided to opt for the independent floating system. , which is the one that has been maintained today.
After the maxi devaluation of 2002, it was followed by a period of appreciation of the currency. It should be noted that the coins use animals and national figures on the reverse as a design.
Economically, Uruguay stands out in Latin America for its high per capita income, its low levels of inequality and poverty, with 60% of its population being middle class.
According to the Economic Commission for Latin America and the Caribbean (Cepal), by 2023 the Uruguayan economy could grow up to 3%, which would imply a slowdown influenced by lower growth in the main Mercosur partners, the global economic slowdown and the tightening of monetary policies.
Among the challenges facing Uruguay are improving its competitiveness and long-term growth, incorporating women into economic activities, and transforming education.
Leave a Reply