The head of the National Bank of Ukraine favours a more active buying foreign currency.
The head of the National Bank of Ukraine Bohdan Danylyshyn considers it appropriate to step up the buying by the Central Bank currency in the interbank market to replenish international reserves. On Monday, February 11, he wrote to his page on the social network Facebook, reports the online edition of the Chronicle.info with reference to the Correspondent.
According to Danylyshyn, at present, the hryvnia strengthened with the support of both external and internal factors. Among the external – slow increase of the interest rates the major Central banks of the world and relatively low energy prices. Domestic support the hryvnia have a record grain harvest, contributing to the inflow of export earnings, increase fiscal discipline at the end of the year, as well as restore the interest of foreign investors in hryvnia government bonds – to do this, non-residents are buying in the interbank market the hryvnia and thus increase the supply of foreign currency.
At the same time, the head of the NBU Council has warned that the trend to strengthening of the hryvnia by the end of June might change.
According to him, export of Ukrainian agricultural products may decline, and investment of nonresidents in government bonds are short-lived.
In addition, the slowdown in global economic growth expected by the International monetary Fund and the world Bank may lead to a decline in demand for products of Ukrainian exports.