Budapest, January 15 (MTI) – The forint plunged against the Swiss franc on Thursday morning after the Swiss National Bank said it was discontinuing its minimum exchange rate of 1.20 francs to the euro.
The forint traded at 310.34 to the Swiss franc around 11 in the morning from 265.51 about an hour earlier.
The forint weakened to 323.34 from 318.92 against the euro during the period.
The forint slid to 275.13 from 271.15 against the dollar.
The SNB explained the decision to scrap the franc’s floor citing the depreciation of the euro against the dollar.
“The euro has depreciated considerably against the US dollar and this, in turn, has caused the Swiss franc to weaken against the US dollar. In these circumstances, the SNB concluded that enforcing and maintaining the minimum exchange rate for the Swiss franc against the euro is no longer justified,” the central bank said in an announcement published on its website.