Inflationary targeting doesn't mean end to interventions - Ulyukayev
MOSCOW. Oct 2 (Interfax) - The Central Bank of Russia, which plans to complete the transition to inflationary targeting by 2015, will retain the right to conduct interventions on the currency market not to control the exchange rate but smooth out excess volatility, Central Bank First Deputy Chairman Alexei Ulyukayev said at the Russia Calling! Forum.
"We always say publicly that we are not undertaking any obligations to abandon interventions on the domestic currency market. We'll not be conducting them to protect the exchange but to dampen excess volatility," he said.
The scale of those interventions will be lower even than in the current situation, when the CBR enters the market infrequently and with small amounts, he said.
The CBR hardly has an exchange-rate target at present. "We have a [trading] band, quite a wide one, with floating limits," he said.
