Banks shun RBM forex auction

Reserve Bank of Malawi RBM has failed to use results of pilot foreign exchange auction because only three out of 8 authorized dealer banks participated

RBM governor Dr Wilson Banda says the results cannot be used to determine official exchange rate as they may not be representative of the sentiments of the entire banking system

Banda says this being the first price discovery auction Reserve Bank duly noted and appreciated the rates submitted by the three banks

He says they will continue engaging other banks in preparation for the next auction