CB directions further dry dollar conversions

The CB has plans to negotiate some oil transactions to support oil imports and food supplies, a CB official told the Business Times on Tuesday.

The regulator is currently arranging high-level discussions with respective Governments to secure short to medium term Government to government financing to buttress inflows as was mentioned in the six-month road map presented recently.

The CB is also negotiating short-term currency swaps with international counterparts.

Economists warn that these are very temporary measures saying the informal market created by the shortage of dollars is still functioning despite the regulator setting conversion rates. An exporter agreed noting that just on Monday he converted $10,000 at a rate of Rs. 225.