The external position weakened through mid-2014, with net international reserves reaching low levels in the third quarter and the exchange rate depreciating sharply.
Indeed, we borrowed to pay interest on debt and shore up the net international reserve defending an exchange rate rendered downwardly unstable by evolving expectations.
These conditions are related to budget deficit, net international reserves, net domestic assets, reduction in borrowing from the central bank and reducing the swap loans obtained by the central bank.
