The Committee of Monetary Policy (COPOM) of Argentina’s Central Bank (BCRA) announced the intention to increase the monetary base by 2.5% per month for the next two months on Sept. 18.
Per the announcement, the move is meant to ensure monetary and financial stability. The bank notes that it believes that the inflation of the Argentine peso caused by depreciation suggests a reduction in real monetary supply. The new exchange rate also lets observers project a real demand for sustained money, as the bank sees it.