DUSHANBE, February 4, 2009, Asia-Plus  -- A sharp increase in the exchange rate of the dollar against the somoni reported in Tajikistan over the past couple of days is mainly connected with roaring demand for foreign currency that was caused by information about rise in the USD exchange rate, according to press service of the National Bank of Tajikistan (NBT).

Against the background of relatively stable macroeconomic indices in the country, such a sharp rise in the exchange rate of the dollar against the somoni is unfounded.  “However, with regard to the state of trade balance, seasonality of changes in the market situation, especially in the countries of the region, inconsiderable devaluation of the somoni is quite possible against the backcloth of the latest events on the domestic market,” the NBT press service said.

“It is to be noted that the population takes unjustified risk, giving way to agiotage and panic, purchasing foreign currency at the unfoundedly high rate, because the situation has a short-term character and after restoration of the actual exchange rate of the somoni they may show a loss,” the NBT said.

On the measures central bank intends to take in this situation, the NBT noted that they constantly kept up with processes on the foreign and domestic markets and used all instruments of monetary policy.

Since mid-December 2008, the NBT has intervened, injecting 1-15.5 million US dollars into the domestic currency market per day.

“The NBT has quite enough currency reserves.  Moreover, we have already reached an agreement with a number of international financial institutions on providing us with currency as additional needs arise,” the NBT press service said.