The Central Bank of Bosnia and Herzegovina told the Klix.ba portal that the Central Bank’s foreign exchange reserves amounted to about 15.68 billion convertible marks and decreased compared to the end of last year.
“The biggest impact on the reduction of foreign exchange reserves was the negative balance of BAM sales, which is usual for the first quarter. In March, increased demand for euro cash was expressed, which further affected the reduction of foreign exchange reserves. CBBH successfully responded to all requests from commercial banks “, they said from the Central Bank.
The Central Bank assures that the Convertible Mark is stable in relation to the euro and the CBBH with its foreign exchange reserves in accordance with the Law guarantees its stability.
“In accordance with all the above, foreign exchange reserves are mostly invested in easily marketable financial instruments, government bonds of eurozone member states, which are traded daily and on a large scale in financial markets, and which can be redeemed in a short time to settle all maturities and potential obligation respecting the criterion of investment liquidity “, explained the CBBH.
They say that the Central Bank of BiH has adjusted the structure of the portfolio of foreign exchange reserves so that the risk due to interest rates has been reduced.
A part of foreign exchange reserves is also invested in monetary gold, and these prices are also monitored, but due to the arrangement of the currency board, no significant investments in monetary gold are possible.