The Czech currency has shown signs of strength against most major world currencies, providing Czech travelers with more value for their money during their summer vacations compared to last year, according to an analysis conducted by investment company Portu. The Czech koruna has appreciated by approximately four percent against the euro and the US dollar, 76 percent against the Egyptian pound, and 29 percent against the Turkish lira.

The euro is the preferred currency used by Czech tourists during their foreign trips, especially in popular destinations such as Croatia, Italy, Slovakia, Austria, and Germany. Over the past year, the koruna has strengthened by nearly four percent against the euro, resulting in increased purchasing power for Czech travelers. For example, if a family exchanged 40,000 Czech korun into euros a year ago, they would have received 1,624 euros. However, today, they would receive 64 euros more due to the appreciation of the koruna.

Despite the recent strength, the Czech koruna has begun to weaken against the euro since mid-April, with the exchange rate currently at 23.71 CZK/EUR, compared to 23.46 CZK/EUR. Analysts predict that the Czech currency may not remain at such solid levels for an extended period, suggesting that it might be advantageous for Czech tourists to exchange their money sooner rather than later.

A similar trend can be observed with the exchange rate against the US dollar. The koruna has appreciated by over four percent against the dollar, reaching 21.97 CZK/USD. However, the koruna has recently weakened. Consequently, a Czech family would now receive 80 dollars more compared to last year. Analysts predict further weakening of the koruna against the dollar, indicating that delaying currency exchange may not be a wise decision.

The most significant year-on-year change is witnessed in the exchange rate between the Czech koruna and the Egyptian pound, with the Czech currency appreciating by 76 percent. This appreciation translates to substantial gains for Czech travelers visiting Egypt, as they would now receive over 56,000 Egyptian pounds in exchange for 40,000 korun.

On a similar note, the Czech koruna has strengthened by 29 percent against the Turkish lira, providing Czech tourists with additional purchasing power in Turkey. With an exchange rate of 1.11 CZK per lira, a family exchanging money would receive 8,000 lire more than last year. However, the future exchange rate of the Turkish lira will depend largely on the outcome of the upcoming Turkish presidential elections and the policies implemented by the central bank.

It is important to note that while Czech exchange offices often do not offer the Egyptian pound, it is advisable to exchange koruna for euros or US dollars before traveling to Egypt and perform the currency exchange on-site if necessary.

The exchange rate between the Czech koruna and the Hungarian forint has not seen significant changes over the past year, appreciating by only 1.8 percent. Currently, the exchange rate stands at 15.85 HUF/CZK. Similarly, the Czech koruna has appreciated by 1.7 percent against the Polish zloty, with the exchange rate at 5.27 PLN/CZK. However, the koruna has weakened against the zloty in the last two months.

As travelers plan their summer vacations, taking advantage of the current strength of the Czech koruna against various currencies can provide them with enhanced purchasing power and a more enjoyable travel experience. However, it is important to closely monitor currency exchange rates and consider the potential impact of fluctuations in the coming months.

Article by Prague Forum