Source Pravda.Ru

Consumer demand for currency in June tops last year's figure

Consumer demand for hard currency in June 2004 was 1.4 times greater than in June 2003, while the supply dropped by 3%, the Central Bank's web site reported.

The Central Bank gave the beginning of the holiday season and, as a result, an increase in tourist trips abroad as the reason for the current situation.

The net demand is the difference between the amount of cash foreign currency sold to natural persons and withdrawn from their accounts and the amount of cash foreign currency bought by authorized banks from natural persons and placed in their accounts.

According to the Central Bank's data, in June 2004 the consumer's net demand for cash foreign currency (the difference between the amounts of hard currency sold to natural persons and withdrawn from their accounts and the hard currency purchased from them by banks and placed in their accounts) increased by 57% against May and stood at $1.7 billion. This is the biggest figure since September 1998. The increase in the net demand in June is connected exclusively with the operations of natural persons (residents) whose net demand increased fivefold and reached $1 billion. The Central Bank says that a trend toward a growth in the consumer's net demand for cash foreign currency has a stable seasonal character and has been registered since 1996. Apart from that, the net demand for cash foreign currency, mostly for dollars, increased because of the influence of certain "nervousness" in society due to the arisen situation in the banking sector, the report said.

The net demand by non-residents, in comparison with May, decreased by 21% to $0.7 billion.

Explaining the situation, the web site said that to satisfy the increased consumer demand in June 2004, authorized banks increased, in comparison with May, the amount of cash foreign currency brought in by 53% to $1.7 billion. The share of dollars in the total amount of this currency dropped to 87%, against 89% in May. The taking out of cash foreign currency went up by 15% to $0.14 billion. The Central Bank noted that despite the increased taking out of euros, mainly dollars were taken out of the country.

"Thus, June 2004 saw growth in practically all operations connected with the cash foreign currency incomings and expenditure," the Central Bank said. The only exception was the sale of hard currency in exchange centers and the withdrawal by natural persons (non-residents) of the money from their hard currency accounts in authorized banks. The remainders of cash foreign currency in the cash offices of authorized banks decreased by 3% and totaled $1.4 billion at the end of the month.

More than 5.8 million people voted for Nicholas Maduro at the presidential election in Venezuela. This is more than a quarter of registered voters. Why did those people vote for the man, who, as Western media write, took Venezuela to the brink of collapse?

Venezuela may expect another Panama scenario from 1989
Comments
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
Kremlin on failed nuclear missile tests: 'Listen to President Putin and believe him!'
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
Russian Navy admiral says Russia will torpedo US warships, if need be
Russian Navy admiral says Russia will torpedo US warships, if need be
USA sanctions Russian oligarchs and heads of state-run companies
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
USA sanctions Russian oligarchs and heads of state-run companies
USA sanctions Russian oligarchs and heads of state-run companies
USA sanctions Russian oligarchs and heads of state-run companies
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
Russian air defences ready to shoot down NATO drones and reconnaissance aircraft over Crimea
Ukraine's exit from Commonwealth of Independent States will affect common Ukrainians most
Russian air defences ready to shoot down NATO drones and reconnaissance aircraft over Crimea
Russian air defences ready to shoot down NATO drones and reconnaissance aircraft over Crimea
Russian air defences ready to shoot down NATO drones and reconnaissance aircraft over Crimea
British football fans spineless to unleash World War Three in Russia during World Cup
Russian air defences ready to shoot down NATO drones and reconnaissance aircraft over Crimea
British football fans spineless to unleash World War Three in Russia during World Cup
Beautiful and terrifying: Russia shows video of Bulava ICBM underwater salvo launch