NASSAU, BAHAMAS — Foreign currency outflows for the month of August rose by nearly $83 million compared to the same period in 2021 reflecting a ‘notable’ rise in oil imports, the Central Bank has revealed.
The regulator in its Monthly Economic and Financial Developments Report for the month of August noted that during the review month the country’s external reserves decreased by $63.3 million to $3.2 billion million. This represents a reversal from the previous year’s accumulation of $140.3 million, which had included proceeds from the receipt of Special Drawing Rights (SDRs) from the International Monetary Fund (IMF).
“Underlying this outturn, the Central Bank’s net foreign currency sales to the public sector were relatively stable at $54.1 million, vis-à-vis the prior year. Meanwhile, the Central Bank’s net sales to commercial banks moderated to $13.6 million from $57.0 million in the preceding year. Further, commercial banks net sales to their customers reduced to $31.6 million from $65.7 million a year earlier,” the regulator noted.
The Central Bank also noted that provisional data on foreign currency sales for current account transactions for the month of August revealed that outflows rose by $82.7 million to $730.5 million, relative to the comparative period in 2021.
“The outcome reflected a notable rise in payments for oil imports, by $69.7 million and “other” current items—primarily credit and debit card transactions—by $26.9 million,” the report read.
“Further, outflows for non-oil imports grew by $6.6 million and travel-related transactions, by $6.0 million. Providing a modest offset, foreign currency sales for factor income and transfer payments, decreased by $20.9 million and by $5.6 million, respectively.”
