Iceland abruptly stops FX purchases
Short-lived programme brought in €429 million of revenue for central bank
The Central Bank of Iceland has halted its regular foreign currency purchase programme.
The bank announced its decision in a press release on December 5, explaining that its international reserves had reached its “desired target level” and that it would not purchase any foreign currency after December 8.
The bank wrote that its reserves had reached 120% of the International Monetary Fund’s reserve adequacy metric. It added that it held the equivalent of Ikr986 billion ($7.71 billion) of FX in its
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