The Efficiency of the Polish Zloty Exchange Rate Market: The Uncovered Interest Parity and Fractal Analysis Approaches

The study of the effectiveness currency market is one most important research problems in field finance. paper aims to assess efficiency Polish zloty exchange rate market. We test by applying two independent approaches, based on Uncovered Interest Parity theory, and another fractal analysis rates series. results show that holds only USD/PLN For EUR/PLN, JPY/PLN, CHF/PLN, MXN/PLN TRY/PLN, hypothesis rejected implies existence forward premium anomaly inefficiency. estimated Hurst coefficient provides insight into long-range dependence rates. MXN/PLN, TRY/PLN EUR/PLN exhibit anti-persistent behaviours suggesting mean-reverting characteristics. JPY/PLN a high value exponent indicates long memory time Only for USD/PLN, we achieve closest 0.5, which efficiency. obtained UIP are consistent. reveals tradable pair, i.e., USD/PLN.