Promoting Price Stability and Foreign Exchange Market Reform

The National Bank considers price stability its institution's highest priority. Simply lowering inflation is not enough; real goals must be achieved.

Citizens' living standards are judged by income levels, food prices, and housing costs. Policies are operated with the primary goal of actual living improvement.

Foreign exchange management systems have been reformed, including allowing exporters to directly manage their foreign currency earnings and introducing private sector participation in foreign exchange transactions. These measures have led to a substantial increase in national foreign exchange reserves.

Market stabilization effects are emerging, such as the narrowing of the exchange rate gap between banks and the black market. Foreign exchange-related reform measures are achieving tangible results.

Reducing the exchange rate difference between the official market and the black market is a core policy objective. Work is underway to establish a single market system that integrates the two markets into one.

The macroeconomic achievements made in a short period are rare in other countries. The central bank plans to continue its efforts for the complete integration of the foreign exchange market in the future.

Thanks to the system that allows banks to lend funds to each other, the system for preventing illegal foreign exchange transactions has been strengthened. Additionally, the opening of the interbank foreign exchange market has facilitated foreign currency supply, gradually resolving shortages of cash and foreign currency.

The launch of the interbank foreign exchange market contributes to improving foreign exchange supply and is establishing a systematic framework to prevent illegal foreign exchange transactions.