The National Bank of Ukraine (NBU) announced The new official exchange rate of 36.5686 hryvnia per dollarIt represents a 25% devaluation in relation to the official cross that the country has maintained since the start of the war, as reported by the agency, which tightened its measures to protect the country’s foreign currency reserves.
The central bank of Ukraine announced its decision with a change. The main parameters of the Ukrainian currency during the war and the strengthening of the dollarNoting that the move will increase the competitiveness of Ukrainian producers, unify exchange rate conditions for different business and household groups, and support the resilience of the economy during the war.
Same way, advocated maintaining a fixed exchange rate with the dollar in the face of great uncertainty caused by the war, Noting that the ‘fixed exchange rate to the dollar’ is the main anchor for stabilizing expectations and the key instrument for achieving the NBU’s primary objectives which include maintaining financial and price stability.
In addition, Ukraine’s international reserves are sufficient to maintain exchange rate stability, Considering the possibility of receiving international financial aid, the gradual establishment of export logistics, the increase in exporters’ sales and the expected decline in foreign exchange demand after the exchange rate adjustment.
“In current conditions, the fixed exchange rate mechanism is the stabilizer of the economy”, NBU President Kyrylo Shevchenko assured that the new level of the exchange rate will become the anchor of the economy and make it more resilient in times of uncertainty.
“It’s up to the NBU to keep the exchange rate stable. maintain control over the dynamics It supports inflation and the continued functioning of the financial system. “This is the basic condition for the stable functioning of the economy, which was vital during the war,” he said.
Same way, ukraine central bank predicts changing exchange rate will increase inflowsand thus, exporters’ income sales in foreign currency will minimize the speculative behavior of market participants and stabilize their exchange rate expectations.
The business announced that it will take some additional measures to balance supply and demand in the foreign exchange market. “Minimize the allocation of international reserves to non-priority expenditures in times of war”.
The NBU closely monitors the stability of the exchange rate and takes the necessary measures to stabilize the foreign exchange market,” he said. Shevchenko stressed that all restrictions imposed at the beginning of the war were temporary.