The wave of intervention in Eastern Europe

The Czech Republic became the last country to join the Eastern European countries that intervened in the market to protect their currency due to the risks after Russia's invasion of Ukraine. The Central Bank of the Czech Republic (ČNB) intervened in the market during the day to support the protection.

The sources, who said that the Polish Central Bank also intervened in the market on Friday morning, stated that it was its third intervention this week as the zloty fell to the lowest levels since the crisis in 2009.

In a statement on the subject, the Czech Central Bank said, "The Czech Central Bank has high foreign reserves. The use of these reserves in the current situation is based on a completely justified reason."

While the Koruna rose by 0.9 percent after the announcement, it gave back some of its gains and traded at 25,611 against the euro, while the ČNB announced that it would not share the details of the intervention.

While the Polish zloty fell to 4,868 against the euro, it reversed this decline after the intervention of the central bank. The Hungarian forint performed weaker on Thursday after the central bank raised interest rates more than expected.

After Russia's invasion of Ukraine, which started on February 24, among the major currencies followed by Bloomberg, the currencies that decreased the most, except for the ruble, were the forint, the koruna, and the zloty.