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Current exchange rate between Grazil (Grazialian Peso) and Nostratia (Nastralian Yeni is 2 NLY - IGRP Grazil's current inflation rate is 10% and is expected

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Current exchange rate between Grazil (Grazialian Peso) and Nostratia (Nastralian Yeni is 2 NLY - IGRP Grazil's current inflation rate is 10% and is expected to go up to 15 % during the corning year. Nostratin's current inflation rate is 10% but there is no change expected in inflation rates in the coming future In addition to the above information on Inflation rates we also know that Grazil's interest rates are currently at 11% and are expected to increase to 16% by end of the year. Grazil Income levels are expected to go up 6% by end of the year Nostralia and Grazil have low trade relations but the financial flows between these two countries are high. Nostralia's interest rates are 11% and are expected to remain unchanged. Nostralia's income levels are expected to go up 6% by end of the year. According to you what is likely to happen to the exchange rate taking into account the combined impact of all the above factors

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