At the National Bank of Cambodia (Photo: khmertimeskh.com) Phnom Penh (VNA) – TheNational Bank of Cambodia (NBC) announced on September 19 that it will continueholding two auctions of US dollars (each worth 10 million USD) on September 20and 22, to ensure exchange rate stability, maintain the purchasing power of theCambodian riel, and support the economic recovery process following theCOVID-19 pandemic.
In a notification sent to banks, microfinanceinstitutions, and foreign exchange units, the NBC said it plans to hold two USDauctions every Wednesday and Friday and maintain this schedule for four weeks.
In early September, the NBC decided to inject 50million USD into the market through auctions held on September 6 (10 millionUSD), September 8 (15 million USD), September 13 (10 million USD), andSeptember 15 (15 million USD).
In its announcement made on September 18, the NBCsaid following the four above USD auctions, the exchange rate of the Cambodianriel against the US dollar has decreased to a level that aligns with the marketconditions over the past two weeks.
According to the NBC, the primary reasons forthe depreciation of the Cambodian riel are seasonal factors and the upwardpressure on the US dollar in the international market. Seasonal factors are thereduced demand for the riel during the agricultural production season, as wellas the low season for tourism activities in the country./.
