MOSCOW, March 27 (RIA Novosti) – Russia’s Central Bank says it is not planning to introduce any limitations on currency swaps in conditions of a liquidity deficit, bank head Elvira Nabiullina said on Thursday.
“Limits were introduced on currency swaps during the 2008-2009 [financial] crisis and market participants are probably worried that we may do this again now…We believe that in the conditions of a market deficit, this instrument would hold and manage percentage rates so that they remained within the percentage corridor,” Naibullina said during a forum at Moscow’s stock exchange.
She said that the volume of currency swaps has grown, but the Central Bank is not concerned.