National Bank Head: No Reasons for Drastic Devaluation
Jermakova repeats the words of the ex-NBB Chairman Prakapovich.
There are no reasons for a drastic devaluation of the national currency in Belarus, the Chairperson of the Board of the National Bank of the Republic of Belarus (NBRB) Nadzieja Jermakova told media on 12 September, BelTA says.
“There will not be some onetime devaluation. We expect nothing like that. It is not required. Will we get smooth devaluation? I cannot rule out the possibility.”
Analyzing the inflow and outflow of foreign currency in Belarus, the National Bank expects no essential changes. “Accounts of Belarusian corporations have accumulated huge sums, about $4 billion in deposits, a lot of foreign currency is stored in deposits of individuals. There is no need for a drastic devaluation,” said the NBRB head.
Asked whether the Belarusian ruble will face denomination any time soon, Nadzieja Jermakova said: “Denomination is, plainly speaking, when we drop zeroes. Revenues of individuals will rise, the amount of money in pockets and plastic card accounts will rise. Some time we will have to go ahead with denomination. I think it is too early to do it this year but next year, perhaps in mid-2013, we will start thinking about that because our revenues are expected to rise a bit”.
Jermakova also noted that Belarus meets all obligations to receive the fourth tranche of the EurAsEC Anti-Crisis Fund loan.
“The loan is going to be allocated by the end of the year. Anyway, we consider we will receive it.”
The gold and FX reserves level of $8.2bln is planned with the loan included, she added.
The NBRB head said that rumors about possible devaluation and denomination have existed for years.