The mechanism chosen, on the other hand, implied that the average level of said real
exchange rate remained roughly constant for nearly 30 years. Because productivity grew
faster than in trading partners, by the end of the period the Central Bank required such
large transactions in the currency market to implement the policy that it largely lost
command over its overall monetary policy. This also implied that, once the system was
reformed to allow better monetary control and the reduction of inflation, the massive
appreciation that came as a result was a very large obstacle for future export growth
performance