The National Bank of Cambodia (NBC) announced on Monday an upcoming dollar auction aimed at facilitating the efficient distribution of dollars within the Cambodian financial sector.
According to the announcement, NBC has scheduled the following dates and amounts for the dollar auction. The first bid auction of $10 million will be held on Wednesday, September 6, and the second bid auction of $15 million on Friday, September 8.
In addition, a third bid auction of $10 million will be held on Wednesday, September 13, and a fourth bid auction of $15 million will take place on Friday, September 15.
The total amount being auctioned is $50 million across the four stages. The NBC is asking all licensed banks, microfinance institutions, and traders to take note of the dates and ensure they are adequately prepared to participate in the auction.
Last week, NBC said it will continue to implement a controlled floating exchange rate regime, allowing the Cambodian riel exchange rate to fluctuate appropriately.
The NBC highlighted that the riel exchange rate against the US dollar has recently experienced a notable increase. This increase can be attributed to seasonal factors and the appreciation of the US dollar in international markets.
Demand for the riel has decreased due to seasonal factors related to agricultural activity and a decline in tourism during this period.
The US dollar has continued to appreciate against other world currencies, driven by the US Federal Reserve's decision to raise benchmark interest rates. This has attracted capital inflows to the US and heightened demand for the US dollar in global markets, the NBC said.
To get the latest news on Cambodia's business and tech, join Kiripost on Telegram.
---
