Some shortage of U.S. dollars in cash is registered in the domestic foreign exchange market of Kyrgyzstan. The National Bank of the republic reported.
It does not allow to fully meet the existing demand from the population in terms of foreign exchange transactions. The situation is caused by the fact that some individuals and legal entities carry out speculative operations on import / transfer of cash and non-cash rubles, non-cash U.S. dollars into the country. They are cashed in the banks of Kyrgyzstan and taken out of the country.
«The main purpose of such operations is to receive speculative income due to the exchange rate difference between the ruble and the U.S. dollar. This is forcing some Kyrgyz banks to temporarily refuse to serve clients in terms of receiving funds from international money transfer systems. The National Bank did not impose any restrictions on foreign exchange transactions, including the amount of money transfers. The restrictions set by individual commercial banks on the amount of exchange/transfer are associated with the lack of cash U.S. dollars in a particular bank,» the National Bank noted.
Commercial banks are actively working to provide the necessary amount of U.S. dollars in cash to fulfill their obligations to customers, the central bank said. The National Bank helps them within the powers set by the legislation.
The National Bank of the Kyrgyz Republic also reminded that in order to ensure economic security and minimize the adverse consequences associated with the outflow of cash U.S. dollars outside Kyrgyzstan, temporary changes were introduced on April 18, 2022 to the rules for making money transfers through money transfer systems. A money transfer can now be received in the currency of the country of departure or in soms. Dollars can be transferred to the country only in non-cash form.
The National Bank imposed no restrictions on the amount of money transfers.
«The introduction of changes in the rules is associated with a sharp increase in the volume of money transfers coming through money transfer systems in U.S. dollars (in non-cash form) from Russia and Kazakhstan. People began to take advantage of the absence of a ban on the import/export of foreign currency from the republic. Having received a money transfer in the banks of Kyrgyzstan in the currency of transfer, that is, in cash U.S. dollars, the recipients exported large amounts of cash U.S. dollars outside the country. In Russia and Kazakhstan, at the same time, there is a ban on the export of foreign currency in cash in an amount exceeding the equivalent of $10,000,» the National Bank told.
