DUSHANBE December 24, 2014, Asia-Plus — The National Bank of Tajikistan (NBT) has adopted a resolution on changing reserve requirements on deposits in the national currency and the foreign currency.
An official source at Tajik central bank says the reserve requirements on the national-currency deposits have been decreased by 3.0 percent while the reserve requirements on the foreign-currency deposits have been increased by 1.0 percent.
The reserve requirement ratio on the national-currency deposits is now set at 2.0 percent and the reserve requirement ratio on the foreign-currency deposits is now set at 8.0 percent
The reserve requirement (or cash reserve ratio) is a central bank regulation employed by most, but not all, of the world”s central banks, that sets the minimum fraction of customer deposits and notes that each commercial bank must hold as reserves (rather than lend out). These required reserves are normally in the form of cash stored physically in a bank vault (vault cash) or deposits made with a central bank.
The required reserve ratio is sometimes used as a tool in monetary policy, influencing the country”s borrowing and interest rates by changing the amount of funds available for banks to make loans with.
