Instruments for Intervention in the Foreign Exchange Market

Banco de la República can intervene in the currency-exchange market through the following instruments:  
  • Intervention through the auction of options of purchase or sale of foreign currency to the Bank, to control the volatility in the exchange rate. 
  • Intervention through discretionary auctions of options of foreign currency sales to the Bank, to accumulate international reserves. 
  • Intervention through discretionary auctions of options for the purchase of foreign currency from the Bank, in order to disaccumulate international reserves. 
  • Discretionary intervention through direct purchases or sales of foreign currency in the exchange market. 
  • Intervention through competitive auctions to buy US dollars in the foreign exchange market. 
A more in-depth description of the instruments for intervention in the foreign exchange market can be found in the Regulatory Letter DODM-143 Asunto 5: Intervención del Banco de la República en el mercado cambiario.

Contenido disponible en / Available in:

  • Español
  • English

This content has been translated into English for informational purposes. Upon any query regarding its interpretation or enforceability, the Spanish version shall be deemed official, and will prevail over the English version. The authors of specific texts such as working papers or articles select the language of publication; therefore, there might be cases in which the content may only be available in English.