The Central Bank of the Argentine Republic (BCRA) yesterday ordered greater restrictions on the entry of foreign currency in the short term to prevent these funds from making a difference in rates and then dipping into dollars, in a classic "financial bicycle" scheme.
Through Communication "A" 6595, the entity stipulated that placements at 29 days must pay a "reserve", that is, money immobilized by banks, of 23%. For placements between 30 and 59 days, the capacity decreases to 17%; between 60 and 90 days 11%; between 91 and 179 days 5%; from 180 to 354 days, 2%, and a year or more, without the need to immobilize money.
When the dollar went to drill the floor of the exchange rate band, the Central decided to raise the reserve and thus avoid a greater appreciation. November is the second month of the new scheme in the "non-intervention zone": it started at $ 35.02 at its lower limit and $ 45.32 at the upper limit.
"The years of extreme international liquidity are coming to an end," warned the president of the Central, Guido Sandleris. The analyst Diego Falcone explained that the banks "channeled external funding from their parent companies to take advantage of the rates that the government is offering through the Leliq (Liquidity Letters) and therefore (low) the dollar and rates." For the analyst "this will discourage volatility in the short (term) by giving an obligation to (immobilized) the money."
The economist Christian Buteler said: "I think it's good that the BCRA wants to avoid the same mistake that was made with the Lebac (Central Bank letters), which was that dollars came in to be put in pesos until the day they withdrew and we we are left with the problem we had, "he said. Distinguished that today the investor is deprived of that bicycle because the Leliq are only for banks, "but a bank can ask for a loan and place it in Leliq and is what you try to avoid". With this measure, the BCRA seeks to avoid carry trade maneuvers that, while generating a large dollar inflow in the short term, also cause a stampede of the exchange rate when they are quickly reverted to dollars. Yesterday, the US currency fell fifteen cents and closed at $ 36.38. The BCRA paid 66.65% in the Leliq rate, the lowest since the new scheme. Telam