ALBANIAN LEK Meaning and
Definition
-
The Albanian lek is the national currency of the Republic of Albania. It is denoted by the symbol L and has the ISO code of ALL. The lek is subdivided into 100 qindarka, although the latter are no longer used due to their gradual withdrawal from circulation in the 1990s.
The lek was introduced on February 16, 1926, and has undergone several denominational changes over the years. Initially pegged to the French franc, it later adopted a fixed exchange rate to the US dollar, which was then replaced by a floating exchange rate in 1992.
The currency has experienced periods of high inflation and currency devaluation, particularly during the transition from a centrally planned to a market economy in the 1990s. Efforts have been made to stabilize the lek in recent years, with the Albanian Central Bank employing measures such as controlling money supply and interest rates to curb inflation and maintain its value.
Banknotes and coins are issued in various denominations, with banknotes featuring prominent Albanian individuals, historical landmarks, and cultural symbols. Coins are minted in different sizes, representing different values. The lek is widely accepted throughout Albania for all types of transactions, including commercial and retail transactions, making it a crucial component of the country's financial system.
Etymology of ALBANIAN LEK
The word "lek" is derived from an Albanian term that means "pelt" or "hide", which was used historically as a form of currency in the region. The term "lek" was initially introduced as the currency of Albania in 1926 and has been in use ever since. The Albanian government chose this name to associate the currency with the country's history and culture. The word "Albanian" in "Albanian lek" simply refers to the country of origin, Albania.
