Tusk talks of intervention as Polish currency drops
Warsaw - Polish Prime Minister Donald Tusk said Tuesday the government would intervene if the country's currency drops to 5 zloty against the euro, and would then sell euros on the market.
The announcement came after the zloty dropped to historic lows on Monday, when it traded at 4.77 against the euro. It dipped further on Tuesday, when at times it traded at
4.94 against the euro.
"The Polish government keeps quiet when it comes to changes in exchange rates," Tusk said. "But I won't deny that this line of five zloty ... is the moment we'll make a decision about starting the process of selling the euro."
Polish officials recently admitted the country is not immune to the world financial crisis. They had previously said the country would be safe because of its strong banking system. (dpa)