Uzbekistan's central bank said on August 10 that it may intervene to prevent any excessive depreciation of the Uzbekistani som (UZS).
The UZS has come under pressure given the depreciation of other currencies such as the Russian ruble, the regulator noted. The weakening of the currencies of trade partners—among which Russia is the second biggest, behind China—has adversely affected inflows of FX through trade and remittances, it added in a statement.
The USD exchange rate rose to a record high of between UZS 12,130 to UZS 12,135 per dollar on August 10. Thus, the US currency rose by more than UZS 400 on the day, the sharpest jump seen in recent years. By the end of the day, the dollar was trading at around UZS 12,070.
Last March, when a similar scenario unfolded, the central bank permitted banks to set the exchange rate themselves and change it during the day.
Don’t just follow the news—understand it.
The IntelliNews PRO service includes access to reports, exclusive market data, and more news that decision-makers care about. Stay ahead of the market with IntelliNews PRO.
Sign Up NowRelated Articles
Iran pushes farm-trade pivot to EEU as US blockade squeezes Gulf ports
The Islamic Republic of Iran wants to widen agricultural trade and joint investment with Eurasian Economic Union (EEU) states, a deputy agriculture minister told the bloc's farm-policy council ... more
Eurasian Development Bank receives first-time Ag credit rating from CCXAP
The Eurasian Development Bank (EDB) has received a first-time long-term credit rating of 'Ag' from Hong Kong-based China Chengxin Credit Ratings Company (CCXAP), with a stable ... more
Uzbekistan's Mirziyoyev heads to Minsk as Lukashenko widens his diplomatic circle
Shavkat Mirziyoyev, Uzbekistan's president, began a two-day official visit to Belarus on July 7 at the invitation of Alexander Lukashenko, in the latest sign of Minsk's push to broaden its ... more