17:25, 14 марта 2022, Bishkek - 24.kg news agency , Tatyana KUDRYAVTSEVA
Exchange rate volatility is currently observed in the foreign exchange market of Kyrgyzstan due to the sanctions imposed on Russia. Official representative of the National Bank of Kyrgyzstan Aida Karabaeva announced today at a briefing.
According to her, the situation in the global financial markets continues to be difficult. Volatility of national currencies is observed in the financial markets of the countries — main trading partners. This affects the domestic market of Kyrgyzstan.
«To smooth out sharp fluctuations in the exchange rate, the National Bank has conducted five interventions since the beginning of the year and sold $284 million. As of March 11, 2022, the country’s international reserves amounted to $2,650 billion, which is six months of the future volume of imports of goods and services. Taking into account the external environment and the internal situation in the foreign exchange market in the financial sector, the National Bank is taking measures aimed at mitigating the negative impact of external shocks,» Aida Karabaeva said.
On March 10, the National Bank of the Kyrgyz Republic adopted an anti-crisis plan to minimize the negative consequences of external economic shocks.
The discount rate has been increased from 10 to 14 percent. This was done to minimize the impact of external shocks on inflation dynamics. In addition, commercial banks are recommended to restructure or convert loans in foreign currency into the national one. To ensure economic security and stabilize the situation on the foreign exchange market, a temporary ban was imposed on the export of cash dollars by organizations that have a license for exchange operations.