12 July 2011

Results of foreign currency auction

On 28 June 2011, the Central Bank of Iceland offered to purchase Icelandic krónur against cash payment in foreign currency. The resulting auction, which took place at 11:00 hrs. today, is an element in the removal of restrictions on movement of capital as set forth in the Central Bank’s capital account liberalisation strategy, published on 25 March 2011.

The auction was structured so that all accepted offers were based on the exchange rates submitted. In all, offers were submitted for 52,234,000,000 kr. Offers amounting to 14,933,240,000 kr. were accepted, and the minimum price of accepted offers was 215.00 kr. per euro. The average accepted price was 216.33 kr. per euro. Offers over the minimum price were accepted in full, and those equal to the minimum price were accepted pro rata, at a percentage of 44.0%.

Further information can be obtained from Már Guðmundsson, Governor of the Central Bank of Iceland, at tel: +354 569-9600.

No. 20/2011
12 July 2011