Central Bank adopts currency control measures
Santo Domingo.- The Governor of the Central Bank, Héctor Valdez Albizu, announced a series of measures yesterday aimed at tackling the upward trend in the exchange rate.
Valdez said that the Central Bank was planning to implement a program of interventions in the exchange market as of today, with the injection of an estimated US$200 million in two weeks.
He added that the CB exchange rate was being increased by 200 basic points, from 4.25% to 6.25%.
He said that the measure would not have repercussions on the economy in the coming three months, but would have a greater impact next year, when they estimate that the economy will be growing by approximately 5%.
He said that these measures are aimed at preventing the upward change in the exchange rate from affecting internal prices and thus inflation.
Valdez Albizu also informed that the Central Bank was issuing fixed rate certificates for monetary regulation for a total of RD$2.861 billion, almost double the rate originally offered.
“The Central Bank intends to take an active part in the foreign exchange market, and has sufficient foreign currency for this. It’s a measure that is going to be adopted tomorrow and that will prevent the sectors or people who have been betting on devaluation for the sake of betting, by retaining dollars or getting rid of them quickly at the rates the Central Bank is offering as the planned average for market operations,” said Valdez Albizu.
Category: DR News |