A Central Bank (BCRD) press release explains that coordinating talks are ongoing between the monetary institution and banks to inject US$200 million from country reserves in the exchange market. The injection will be made through the BCRD’s electronic currency trading platform from the end of December 2023 to the beginning of January 2024. The Central Bank says the objective is to promote adequate foreign currency liquidity conditions.
The comprehensive strategy calls for banks to use their own hard currency resources and the Central Bank will provide equal support to satisfy the demand for foreign currency under market conditions.
The BCRD indicates that it has implemented a broad intervention strategy, offering various instruments in both the spot market (spot) and the future (forwards). This allows economic agents to organize their current and future currency purchases and cover their exchange risk expectations.
The Central Bank says that as of Friday, 22 December 2023, the Dominican Republic’s international reserves were at US$15.33 billion, which represents 12.7% of the Gross Domestic Product (GDP), equivalent to 5.7 months of imports, a level that surpasses International Monetary Fund recommendations.
Read more in Spanish:
Listin Diario
El Dia
Diario Libre
27 December 2023
—