PageHeader
The primary goal of monetary policy is to ensure the stability of the exchange rate, which is an essential precondition for promoting other macroeconomic objectives in an open economy, such as economic growth, stable inflation, and financial stability.
PageContent
The goal of defending the fixed peg of the RO in relation to the USD is attained through sound domestic liquidity management, supported by adequate foreign exchange reserves, and a strong, resilient and well regulated banking system. Prudent fiscal policies of the Government also support the peg.