FX Reserves and IFEM Movements in March
NBS FX reserves amounted to EUR 11.073,1 million in March. During the month, the strongest inflows to FX reserves came from banks’ required reserve allocations (EUR 96.0 million), disbursement of credits and grants (EUR 66.2 million) and the sale of euro-denominated government securities (EUR 49.7 million). In the same period, the largest outflows were registered on account of NBS interventions in the IFEM (EUR 310 million) and settlement of liabilities to foreign creditors (EUR 112.5 million).
Net FX reserves, defined as FX reserves less banks’ required reserves and drawings from the IMF, came at EUR 6,139.0 million.
End-March FX reserves covered M1 by 461 percent, short-term debt by 1,868 percent and over seven months of imports of goods and services.
Trading volumes in the IFEM amounted to EUR 1,017.4 million, down by EUR 673.8 million from February. In the first quarter of this year, interbank trading volumes totalled EUR 4,527.8 million.
In March, the NBS sold EUR 310 million in the IFEM to ensure smooth functioning of the foreign exchange market. In nominal terms, the dinar depreciated against the euro by 1.1 percent in March and by 6% percent since the start of the year.