"The formal introduction of this model has been scheduled for the beginning of 2005," he said at the Federal Investment Forum.
Mr. Kamburov said the Central Bank was doing everything possible to smoothly transfer to a more flexible exchange rate model which will be based on the bi-currency index model, the operational target of the Central Bank's exchange rate policy.
Despite the beginning of 2005 being the formal date for the introduction of the bi-currency index, the Central Bank has recently had a more flexible exchange rate policy because of the strengthening of the euro against the dollar on world markets.
In regard to the potential consequences of the measure for the financial markets, Mr. Kamburov said the use of the bi-currency index would invigorate "interest in the forward market."
Mr. Kamburov said that while the Central Bank regulates the exchange rates, the demand, in terms of instruments, was not high, and that the transition to a more flexible exchange rate would bolster interest in the forward market.
