The EC dollar remains stable amid a global environment marked by uncertainty and complexity.
That’s according to the Governor’s report to the 105th Monetary Council meeting of the Eastern Caribbean Central Bank (ECCB) on 21 July 2023 in Saint Vincent and the Grenadines.
The report addressed Monetary and Credit Conditions in the Eastern Caribbean Currency Union (ECCU) from January to June 2023.
It noted that monetary and credit conditions in the ECCU remain stable and accommodative, helping to anchor macroeconomic stability.
“The EC Dollar – the only legal tender in the ECCU – remains stable and has held steady for decades,” the report observed.
It disclosed that the foreign reserve backing for the EC Dollar remains strong.
“The current is 92.4 percent, well above the statutory minimum requirement of 60.0 percent,” the report noted.
The ECCB’s foreign assets are now around $5.2 billion compared with $5.04 billion at the end of 2022.
The pre-pandemic (2019) level was $4.58 billion.
The Monetary Council meeting in Saint Vincent and the Grenadines also learned that the ECCU banking system remains resilient and stable, maintaining high liquidity with robust capital buffers.