The hryvnia continues to strengthen on the interbank market despite attempts by speculators to undermine the exchange rate

Last week, the dollar exchange rate on the interbank market gradually declined, despite attempts by speculators to change the trend, and lost 18 kopecks in a week, falling to 26.25-26.27 UAH/. by Friday.

The exchange rate is supported by increased demand from energy importers, but the increase in foreign currency sales by agricultural exporters increases pressure on the dollar. The increase in energy prices is offset by an increase in prices for agricultural products, especially against the background of a record harvest of corn, the export of which is just beginning, as well as a better harvest of oilseeds, which have significantly increased in price compared to last year.

At Friday's auction, the confrontation between importers, exporters, speculators and the NBU intensified, which in the morning bought 5 5 million at the rate of 26.27-26.29 UAH/., and at the end of the session was forced to sell the currency at 26.25 UAH/. in order to keep the exchange rate at 26.25 UAH/.. If in the previous week the National Bank bought викуп 350 million of surpluses to stabilize the exchange rate and did not sell the currency, then during October 25-29 it actively acted in both directions, so it bought 5 54.5 million and sold.49.6 million.

Recall that during October 18-23, the NBU purchased 3 350.1 million on the interbank market, and since the beginning of the year it has bought викуп 2.429 billion, and sold.246.6 million.

Due to the passage of the crisis without currency shock and maintaining access to external financing, in particular due to cooperation with the IMF, Ukraine's external debt in relation to GDP at the end of the 1st half of 2021 decreased to the lowest level since 2014 of 75.2%, and the short-term – since 2009 of 28.4%. Further economic growth and sound macroeconomic and fiscal policies will continue to help reduce this ratio, and a sufficient level of reserves will play the role of a security buffer and provide liquidity for servicing external debt."

During 2022-2023, Ukraine must pay almost.14 billion on its external obligations, but the National Bank believes that this will not be a problem for the country.