Media: National Bank Seems To Have Printing Press Turned On

• 14.06.2023, 16:54

What does it mean?

The total amount of cash in circulation is still growing in Belarus. It amounted to BYR 8 billion 192.8 million at the beginning of June, according to the National Bank. This is a record figure. The growth of cash in circulation may indirectly indicate the inclusion of the printing press, which the National Bank previously warned about, writes Zerkalo.

The total amount of cash in circulation increased by BYR 275.1 million and amounted to BYR 8 billion 192.8 million. For comparison: this figure was at the level of BYR 6 billion 893.6 million at the beginning of this year.

In general, for 2022, the total amount of cash in circulation increased by BYR 2 billion 173.2 million.

The broad money supply appeared in June after declining a month earlier. We are talking about the funds of individuals and companies in bank accounts, as well as cash in circulation. As of June 1, the broad money supply amounted to BYR 64 billion 13.4 million. This is BYR 1 billion 231.3 million more than a month earlier. Recall that in April this indicator decreased by BYR 306.2 million, and in February and March it increased by almost BYR 3.8 billion. In 2022, the broad money supply increased by BYR 6 billion 887.6 million.

The National Bank previously announced the assumption that in 2023 foreign currency injections into the economy may be required to smooth out the sharp fluctuations in the Belarusian ruble exchange rate, as well as replenish gold and foreign currency exchange reserves. At the same time, the regulator plans to introduce changes in currency regulation and control. This is provided for by the monetary policy for 2023.

In 2022, there were foreign exchange interventions in the economy, in other words, the regulator poured money. This happened against the backdrop of increased demand for foreign currency from business entities and banks.