The Central Bank of the Dominican Republic explained that the recent increase in the foreign-exchange rate was due to seasonal issues as well as the Christmas vacation taken by many of the foreign banks operating in the DR. According to Pedro Silverio, the manager of the Central Bank, there are plenty of dollars on hand to cover the government’s obligations, since the foreign currency reserves are now at US$1.93 billion, more than US$1.1 billion more than during the same time in 2004. The official gave his statements after the dollar climbed to over RD$35 to one US$1.00 last week. During most of 2005, the for-exchange rate had hovered in the RD$28.00 – RD$31.00 range. Silverio also pointed out that the liquid assets in foreign currency had reached US$858 million, some US$508 million more than the goal set by the IMF Stand By agreement, and moreover, this month the Interamerican Development Bank will be releasing US$20 million of the loan destined to shore up the financial structures.