The Czech Koruna (CZK) is the official currency of the Czech Republic and is also used in the Czech part of the European Union (EU). The symbol used for the Czech Koruna is "Kc".
The Czech Koruna was introduced in 1993, when Czechoslovakia was divided into the Czech Republic and Slovakia. It replaced the Czechoslovak currency, the Czechoslovak Koruna. Since then, the Czech Koruna has performed reasonably stable with a few exceptions, including the collapse in 1997 during the Asian Crisis.
See the real-time exchange rate and chart for the Czech Koruna (CZK) on the right.
Factors influencing the Czech Koruna
Like all other currencies, the value of the Czech Koruna is influenced by economic factors, including interest rates, inflation, trade balances and political stability. Specific to the Czech Koruna, however, there are other factors, including dependence on exports, the relationship to the euro and the ability to manipulate its value.
International trade
In international trade, the Czech Koruna is not as important as, for example, the US Dollar or the Euro. Nevertheless, the Czech Koruna still plays an important role in trade with other European countries and Asia. Many international companies have established operations in the Czech Republic, which has increased demand for the Czech Koruna.
Outlook
The future of the Czech Koruna largely depends on economic developments in the Czech Republic and the global economy. Many analysts are optimistic about the exchange rate of the Czech Koruna and predict that it will increase in value in the coming years.
Conclusion
The Czech Koruna is the official currency of the Czech Republic and is also used in the Czech part of the European Union (EU). The value of the Czech Koruna is influenced by economic factors and plays an important role in the Czech Republic's international trade with other European countries and Asia. Analysts are positive about the future of the Czech Koruna.