Lei or Euro Savings: Where to Keep Your Money in Romania

Many people in Romania are asking themselves whether to keep their savings in lei or in euros, especially as the national currency has started to weaken after several stable years. Data from the National Bank of Romania (BNR) shows that household deposits grew faster in foreign currency than in lei over the past 12 months, while the growth of lei savings was almost entirely cancelled out by inflation. The decision, however, is not simply about patriotism or habit; it comes down to a break-even exchange rate you can calculate yourself.

At the moment, lei deposits generally offer higher interest rates than euro deposits. According to current market averages, one-year lei deposits pay between 5% and 6.5% per year (DAE), while euro deposits typically pay between 0.5% and 2.10%. Some smaller banks are more generous: tbi Bank advertises 3.00% on euro deposits, and lei deposits can reach 7.00% per year at TBI Bank and ProCredit. All interest earned is taxed at 10%, withheld at source.

How the break-even works

To compare fairly, you need to convert lei back into euros at the exchange rate one year from now. For example, a lei deposit at 6.5% gross gives about 5.85% net after tax, while a euro deposit at 2.5% gross gives about 2.25% net. The difference is roughly 3.6 percentage points. That means a lei deposit will beat a euro deposit only if the leu depreciates by less than around 3.5% over the year. In other words, the break-even exchange rate is about 5.53 lei per euro.

As a reference point, the official BNR exchange rate was 4.92 lei per euro in 2021 and 4.97 in 2024, before the leu began depreciating from May 2025. More recently, the rate has moved from 5.2489 on 5 August 2026 to 5.3470 on 8 October 2026 – nearly 2% in just two months. If that pace continued, the euro deposit would win, but a depreciation of more than 3.5% over a full year is not guaranteed.

Inflation changes the picture

Inflation in Romania has been unusually high in 2026. The central bank kept its key interest rate at 6.50% in July, when annual inflation had climbed to 10.85% in May. On 8 October, the BNR again held the rate at 6.50% and warned that inflation could rise further before the end of the year. However, if your everyday spending is in lei, Romanian inflation affects you regardless of which currency you hold your savings in.

Think about when and where you will spend

The currency you need matters more than the deposit yield. If your rent, loan instalments and daily expenses are in lei, keeping money in lei eliminates exchange-rate risk. If you are planning to study abroad, buy property in another country or repay a euro loan, it makes sense to hold euros. Your time horizon also matters: exchange rates are hard to predict in the short term, but over long periods the leu has tended to depreciate gradually.

Government bonds are another option worth considering. Fidelis issues are available in both lei and euro, offer attractive interest rates and are exempt from the 10% income tax. Remember that bank deposits are guaranteed up to €100,000 per person per bank.

A practical middle way

Many savers choose a hybrid approach: keep the money you need for lei expenses in lei, and set aside a portion of long-term savings in euros as protection against a sudden depreciation. This avoids the need to guess the exchange rate and gives you the best of both worlds.

Before opening any deposit, check the exact current offer from your bank, because rates change frequently and differ significantly between institutions.