STOCKHOLM May 18 Iceland will halt its regular
foreign currency purchases from next week due to the growth of
its foreign reserves, the central bank said on Thursday.
Since 2002, the central bank has bought foreign currency on
the foreign exchange market to enable the Treasury to service
its foreign debt and to maintain its foreign exchange reserves.
Recently the bank has been buying 6 million euros per week
and in 2016 the purchases amounted to 312 million euros,
equivalent to 41.7 billion Icelandic crowns, the bank said in a
"The Bank’s large-scale purchases in recent years have led
to a sizeable increase in the reserves, which means that there
is no need to continue these regular purchases at present".
(Reporting by Johan Sennero; Editing by Hugh Lawson)