C. bank: No determined rate to defend
Central bank NBS) Governor Dejan Šoškić stated on Wednesday that there is no determined exchange rate limit that the bank is defending.
Wednesday, 01.12.2010.
16:38
Central bank NBS) Governor Dejan Soskic stated on Wednesday that there is no determined exchange rate limit that the bank is defending. He underscored that the daily volatility of the dinar-euro exchange rate is considerably smaller compared to the fluctuations of other currencies against the common European currency. C. bank: No determined rate to defend "There is no exchange rate that NBS is firmly defending, nor is there an amount of foreign currency that NBS allocated in advance to be used for possible interventions," Soskic told the journalists and stressed that the central bank will intervene in the foreign currency market when it assesses that daily fluctuations are too large. "The citizens should be reminded that the fluctuations and instability of the exchange rate of the dinar against euro are much less than exchange rates of other European currencies against euro," he said, giving the example of the Polish currency zloty, which may drop by two or more percent per day, as it was the case several days ago. According to Soskic, NBS will in the following period use all available instruments to preserve macroeconomic stability, adding that this does not only include the possibility of determining the level of the reference interest rate and obligatory reserves, but also NBS's interventions in the foreign exchange market. The Serbian dinar has continued to drop against the euro for the seventh day in a row, so the official medium exchange rate on Wednesday is RSD 107.3818 per euro. Since the beginning of the year, NBS has sold a total of EUR 2.389bn, so as to ease excessive daily volatility of the dinar exchange rate and ensure the functioning of the foreign currency market.
C. bank: No determined rate to defend
"There is no exchange rate that NBS is firmly defending, nor is there an amount of foreign currency that NBS allocated in advance to be used for possible interventions," Šoškić told the journalists and stressed that the central bank will intervene in the foreign currency market when it assesses that daily fluctuations are too large."The citizens should be reminded that the fluctuations and instability of the exchange rate of the dinar against euro are much less than exchange rates of other European currencies against euro," he said, giving the example of the Polish currency zloty, which may drop by two or more percent per day, as it was the case several days ago.
According to Šoškić, NBS will in the following period use all available instruments to preserve macroeconomic stability, adding that this does not only include the possibility of determining the level of the reference interest rate and obligatory reserves, but also NBS's interventions in the foreign exchange market.
The Serbian dinar has continued to drop against the euro for the seventh day in a row, so the official medium exchange rate on Wednesday is RSD 107.3818 per euro.
Since the beginning of the year, NBS has sold a total of EUR 2.389bn, so as to ease excessive daily volatility of the dinar exchange rate and ensure the functioning of the foreign currency market.
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