The exchange rate of the dollar (USD) against the Tajik national currency, the somoni (TJS), is continuing to rise
According to data from the National Bank of Tajikistan (NBT), TJS has lost 7.0 percent of its value against USD over the first two months of this year, falling from 10.2:1 on January 1 to 10.92:1 on February 28.
The exchange rate of the Tajik currency against other world’s reserve currencies – the euro and the yuan — has also fallen.
The euro and the yuan were included in the structure of Tajikistan’s gold-and-currency reserves in 2022.
Over the reporting period (January-February), the somoni has lost 5.9 percent of its value against the euro (from 10.92:1 on January 1 to 11.56:1 on February 28) and 5.4 percent of its value against the yuan (from 1.49:1 on January1 to 1.57:1 on February 28).
A reserve currency (or anchor currency) is a foreign currency that is held in significant quantities by central banks or other monetary authorities as part of their foreign exchange reserves. The reserve currency can be used in international transactions, international investments and all aspects of the global economy. It is often considered a hard currency or safe-haven currency.
The U.S. dollar is the world's dominant reserve currency, among other such currencies including the euro, the yen, the pound, the renminbi (RMB), the Canadian dollar, the Swiss franc, and the Australian dollar.
The exchange rate of the somoni against the Russian ruble has also fallen insignificantly over the first two months of this year – from 0.1442:1 on January 1 to 0.145:1 on February 28.
Recall, the somoni last year strengthened by 4.0 percent against the dollar, by 14.8 percent against the euro, by 3.7 percent against the Russian ruble, and by 16.2 percent against the yuan.
It is to be noted that the Tajik national currency is pegged to the ruble due to Tajikistan’s strong socio-economic dependence on Russia. The dependency has increased even more last year in connection with transfer to the use of national currencies in the bilateral trade.
