Central Bank of Uruguay President Guillermo Tolosa used remarks to business leaders at World Trade Center Montevideo on 30 October to argue that reducing dollarisation of savings and strengthening confidence in the Uruguayan peso would support domestic purchasing power and the national economy. Tolosa warned that pricing imported goods in US dollars does not eliminate exchange-rate exposure, because peso prices rise when the exchange rate increases, which can trigger sharper drops in sales than if prices were set in local currency, effectively shifting foreign-exchange risk into sales risk. He linked these practices to legacy fears of abrupt devaluations, which he described as unjustified in the current macroeconomic context, and noted that in 2025 the US dollar has not played its traditional safe-haven role. He also argued that saving in US dollars entails a substantial loss of purchasing power and acts as a barrier to local credit and investment.
Central Bank of Uruguay 2025-10-31
Central Bank of Uruguay president calls on businesses to price in pesos and support de-dollarisation to improve predictability and purchasing power
Central Bank of Uruguay President Guillermo Tolosa advocated reducing dollarisation of savings and boosting confidence in the Uruguayan peso to enhance domestic purchasing power and the economy. He noted that pricing imported goods in US dollars shifts foreign-exchange risk into sales risk and that saving in US dollars results in a loss of purchasing power and hinders local credit and investment. Tolosa described fears of abrupt devaluations as unjustified in the current macroeconomic context.