In Ukraine, there is a growing share of payments made in euros among bank customers for non-cash foreign exchange purchases, according to an analytical review by the National Bank of Ukraine (NBU) reported by TASS. The assessment indicates that euro transactions are approaching half of such payments, signaling a notable shift in currency preferences within the country’s financial system.
The NBU notes that this trend aligns with Ukraine’s ongoing European integration efforts. The regulator suggests that if the pattern continues, discussions could emerge about the potential benefits of adopting the euro as the primary currency tied to the exchange rate regime in the near term. This perspective reflects considerations about currency alignment with regional partners and the broader economic strategy to deepen euro-area connections, though it remains a topic for market participants to assess in light of evolving conditions. [Source: National Bank of Ukraine]
The regulator also mentioned that the euro exchange rate will be clarified for market participants by noon, underscoring the importance of clear, timely information for businesses and consumers navigating cross-border payments and currency risk. This move comes as market transparency remains a priority in supporting stable financial activity amid changing external and domestic dynamics. [Source: National Bank of Ukraine]
Earlier reporting indicated expectations for Ukraine’s money supply to grow in 2023. The increase was reported to be about 23 percent, reaching 3.08 trillion hryvnias, equivalent to roughly 80.6 billion US dollars. Cash in circulation rose by about 23.3 percent, totaling 976.9 billion hryvnias (approximately 25.5 billion dollars). These figures illustrate a robust monetary expansion during the year, with implications for liquidity, inflation dynamics, and the financial sector’s capacity to support economic resilience. [Source: National Bank of Ukraine]
Andriy Pyshny, the chairman of the NBU, emphasized the critical role of international financial assistance for Ukraine. He advocated for using monetary emissions to bolster the budget and strengthen macro-financial stability, highlighting how such measures can support the country’s economic reform agenda and public finances during periods of external pressure. The emphasis on prudent macroeconomic management reflects the need to balance liquidity with discipline to sustain growth and stability in the face of evolving challenges. [Source: National Bank of Ukraine]
At the same time, the central bank signaled that it was moving away from prior practices related to non-cash ruble exchanges, signaling an ongoing evolution in how the institution manages cross-border currency operations and fair access to financial services for individuals and businesses. This shift aligns with broader efforts to modernize the payment system and improve efficiency and security across Ukraine’s financial landscape. [Source: National Bank of Ukraine]