The króna depreciated by 6.4% in 2018, and turnover in the interbank foreign currency market contracted sharply year-on-year. In H2/2018, the Central Bank sold currency in the interbank market three times, with the aim of mitigating fluctuations in the exchange rate of the króna. The exchange rate was relatively stable in the first eight months of the year, and turnover was limited. The market grew turbulent in the autumn, partly because of uncertainty in the air transport sector, and the currency weakened. In December, the exchange rate rose again after a relatively sharp decline since the beginning of September. The Central Bank then bought currency in the interbank market for the first time in more than a year. The international reserves amounted to 736 b.kr. at the year-end, or 26% of GDP.
News archiveSeminar introducing a new book: The Economic Crisis and its Aftermath in the Nordic and Baltic Countries - Do As We Say and Not As We Do. The seminar will take place at the Central Bank of Iceland on...More
