Press releases
1. 12. 2000

Announcement of the Czech National Bank on a change in the method of declaring exchange rates and calculated rates of legacy currencies in connection with the introduction of the single European currency in Greece as of 1 January 2001

With effect from 1 January 2001, the European Union Council is setting the fixed conversion rate which will permanently link the single European currency euro (EUR) to the Greek drachma (GRD). In connection with Greece joining the eurozone and introducing the single currency with effect from 1 January 2001, the method of declaring exchange rates and calculated rates of legacy currencies is changing. The GRD will be removed from the market exchange rates and included under the calculated rates as a new euro denomination.

When publishing these values, the CNB will use the following terms:

  • Exchange rates - variables obtained from the foreign exchange market (e.g. 1 EUR = 35.450 CZK)
  • Conversion rates - constant values between the euro and the currencies of those EU member states that are part of the eurozone, fixed irrevocably by the European Central Bank on 31 December 1998 and approved by the EU Council on 1 January 1999 (e.g. 1 EUR = 1.95583 DEM).
  • Calculated rates of legacy currencies - variables calculated by dividing the EUR/CZK exchange rate by the appropriate conversion rate (e.g. 1 DEM = 18.125 CZK)

The exchange rates and calculated rates effective from 29 December 2000, which will be compiled on 28 December 2000, will be published in the existing form.

The adjusted exchange rates and calculated rates of legacy currencies effective from 2 January 2001, which will be compiled on 29 December 2000, will look like this:

Exchange rates and calculated rates of legacy currencies

Effective from 2 January 2001

Exchange rates (16 items):

1 USD = XX.XXX CZK
1 EUR = XX.XXX CZK

(exchange rates of another 14 currencies given below)


Calculated rates of legacy currencies (12 items)

Calculated rates of legacy currencies are not exchange rates

1 DEM = XX.XXX CZK
(10 more calculated rates + GRD)

The calculated rate for GRD will be added after the conversion rate is fixed.

All subsequent exchange rates and calculated rates will have the same form.

Under the Act on Accounting and other legal norms, exchange rates are used for non-business purposes (valuing assets and liabilities, tax and customs proceedings etc). For client operations, commercial banks are allowed to use their own CZK exchange rates vis-ŕ-vis individual currencies, in line with current practice.

Milan Tománek
CNB spokesman