Banks Strangled by Ruble Deficit, Interbank Interest Rates Sky-High
The mean interest rate of one-day interbank loans on October 22 increased by 6.11 percentage point and reached 62.27 per cent per year.
Strict monetary policy of the National Bank of Belarus led to a drastic increase of bank interest rates.
The mean interest rate of one-day interbank loans on October 22 increased by 6.11 percentage point and reached 62.27 per cent per year. The minimum rate is 52 per cent per year and the maximum point is 70 per cent per year, AFN reports.
Yesterday Chairperson of the National Bank Nadzieja Jermakova said that the National Bank was buying foreign currency at three last Belarus stock exchange sessions. Banks are actively selling foreign currency to enlarge Belarusian currency reserves.
However, the stock exchange sessions were not enough and state banks require more ruble support from the National Bank. But the National Bank fears that these rubles may be used to buy FX what may cause pressure on Belarusian ruble exchange rate.
The hustle on the financial market shows that the devaluation and inflation expectations are still high as the Russian oil shipments perspectives to Belarus in 2013 remain unclear: Russian oil remains the main source of FX for Belarus.
The existing interest rates of 50 per cent per year and more show the estimated possibility of Belarusian ruble devaluation.
Lukashenka while meeting with Nadzieja Jermakova on Monday said that the exchange rate “announced to the nation” should be “sacredly kept.”
The point is, however, that the National Bank previously stated the exchange rate should be based on market principles.
1xBet hosts thousands of fake matches, including in Belarus. They earn astronomical sums8
1xBet hosts thousands of fake matches, including in Belarus. They earn astronomical sums
«If the West Detained Lukashenko's Agents, There Could Be an Exchange Fund.» Vechorko on Political Prisoners, Cabinet Staff Turnover, Border Situation, and Visas9292
Comments