CONTROL OVER FOREIGN EXCHANGE POINTS TO BE TOUGHENED IN ARMENIA

ArmInfo
2009-03-03 16:25:00

ArmInfo. Control over foreign exchange points in Armenia will be
toughened, Chairman of the Armenian Central Bank Artur Javadyan told
media Tuesday. The amendments to the legislation on foreign exchange
operations by the Parliament will make it possible toughening measures
of punishment for violation of foreign exchange legislation.

‘Foreign exchange points should only buy foreign exchange
from individuals and sell it to individuals serving mainly
tourists. However, our surveys showed that these duties are not
fulfilled in reality. Amendments to the above law do not provide
for criminal responsibility for the exchange points and individuals
engaged in foreign exchange deals without relevant licenses despite
the boom in the market and speculative sentiments’, he said.

A. Javadyan said that Central Bank is making rather large-scale
inspections and provide data on violations to law-enforcement
agencies. Exchange points have a right to sell and buy currency
only in registered places, A. Javadyan said. They have no right to
buy currency at banks. A. Javadyan said that over the last 5 days,
Central Bank conducted daily inspections at all the local banks. All
the banks sold currency with some restrictions in compliance with the
law. For instance, he said, selling over US$10,000 banks demanded
a client to fill some forms and to report on the place where these
funds would be spent. In case of over 400,000 drams demand by a
client, banks required passport, he said. A. Javadyan highlighted
that foreign exchange rate is established only at stock exchange
markets and inter-bank market. Late in the evening on Monday, a US
dollar was sold for 430 drams in the black market in Armenia whereas
exchange points sold /bought a US dollar for 306/308 drams both on
Monday and on Tuesday before 11:00am. Afterwards the exchange rate
sharply rose in an hour to 340/375 drams and keeps on growing.