Hello. I have a question about the NOK exchange rate. Is the exchange rate rising currently? What are the future forecast for the Norwegian krone? What is the best time to exchange a large amount of kroner to euros over the next year? I also have some trouble understanding why the krone exchange rate is written as 9,35 and not 0,106? This makes it difficult to understand when the rate is rising. According to you, when it says 9,4 or 9,6, the exchange rate is supposed to be rising, but I don’t believe that’s true. I though that the krone exchange rate is based on the amount of euros I would get for 1 krone. In this case, it I would get 0,106 euros for 1 krone? Could you please explain me all of this?
Hello, Christine, thank you for your question. Now the official currency exchange rates, which are defined by ECB, are presented in way that shows euro and foreign currencies ratio. EUR/NOK exchange rate shows how much 1 euro is worth in a foreign currency. For example, 1 euro equals 9,2678 Norwegian kroner (according to the 13th May 2016 data). This means that the less Norwegian kroner you need to buy 1 euro, the stronger the Norwegian krone is.
Is it rising or falling? Euro to Norwegian krone exchange rate fluctuates all the time, so based on the period since January 2016 and now, then Norwegian krone could be considered stronger. Yet, if we compared 2012 and this year, it could be said that the krone is weak in contrast to euro. You can analyze the EUR/NOK graph here.
NOK forecast. It’s difficult to predict anything about the future trends: Norwegian krone also depends on the price of oil, that’s why Norwegian krone experienced currency depreciation when the price of oil was low. When oil prices started to rise once again, NOK also began to grow stronger. However, I mentioned only one factor that impacts the falling and the rising of the Norwegian krone. Anything could happen, for instance, if we analysed the NOK exchange rate graph, we would notice that different events and news in the world influence how the rate fluctuates.
All in all, you ought to examine all of the news and graphs and draw your own conclusions. We’re not allowed to tell you what to do, because we don’t know what to expect tomorrow: perhaps one thing seems right at the moment, yet it can change after some time.