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Global economic crisis may lead to unpredictable fluctuations in foreign currencies’ exchange rates in Belarus, says deputy head of National Bank

The global economic crisis may lead to unpredictable fluctuations in foreign currencies’ exchange rates in Belarus, Syarhey Dubkow, deputy head of the National Bank, said in an interview posted on the Bank’s website on Tuesday.

“Considerable unpredictable fluctuations in the exchange rates of foreign currencies may occur under the influence of the world economic crisis if there are imbalances in the economic development of the countries, as was the case in 2011,” Mr. Dubkow said. “This leads to a decrease in the paying capacity of borrowers.”

According to him, the NBB does not consider it expedient to lift the ban on the issuance of loans in foreign currency to individuals as this would carry a high risk of failure to pay off such loans because people’s pay is in Belarusian rubels.

Phasing out payments in foreign currency in the territory of Belarus is one of the priorities of the National Bank, Mr. Dubkow noted. “This helps protect the Belarusian rubel, ensure its stability and the stability of its purchasing power, and also increase people’s trust in the national currency,” he said. //BelaPAN