International aid and active exports supported the interbank hryvnia exchange rate

Last week, the dollar exchange rate on the interbank decreased from 39.17-39.2 to 38.85-38.87 hryvnias/$ due to the arrival of international aid from the EU countries and a possible resolution in April of the issue of allocation of funds for Ukraine in the United States.

In one week, the National Bank increased the sale of currency at the interbank by $100 million to $263 million, and in total in 2024 it sold $4.6 billion and added only $71.4 million, although previously it sold $400-600 million per week.

The deficit of the state budget of Ukraine in the 1st quarter amounted to UAH 197 billion, in particular, in March – UAH 103 billion. Budget revenues in the 1st quarter increased by 22% compared to the same period in 2023 to UAH 641.1 billion, in particular in March - to UAH 242.8 billion (+0.5% compared to March 2023). At the same time, expenditures increased by 12% to UAH 839.1 billion, in particular in March – to UAH 345.7 billion (+15% compared to March 2023).

According to the Ministry of Finance, actual state borrowing to the general fund of the state budget in the 1st quarter amounted to UAH 473.6 billion, or 97% of the plan.

Ukraine's international reserves grew by 18% to a record $43.8 billion in March thanks to the receipt of more than $9 billion in international aid.

So, in March, $9.31 billion was received in the NBU's currency accounts, in particular:

• $4.9 billion - the first tranche from the EU under the Ukraine Facility financing program,
• $1.62 billion - from the World Bank under the guarantees of Japan and Great Britain,
• $1.5 billion - from Canada,
• $880.7 million - from the IMF,
• $286.2 million - from placement of OVDP,
• $118.2 million - a grant from Japan transferred through the World Bank,
• $32.4 million - a grant from Serbia.

Ukraine paid $363.5 million to service and repay the national debt, and transferred $728.5 million to the IMF.

In March, the National Bank sold $1.8 billion on the foreign exchange market and bought $25.9 million, resulting in a net sale of currency of $1.8 billion, compared to $1.509 billion in February and $2.549 billion in January 2024 .

The export of products from Ukraine in the 1st quarter reached 36 million tons for the amount of about $9 billion, in particular, in March - 11.8 million tons for the amount of $3.2 billion, which almost corresponds to the indicator of January 2022 - the month that preceded the full-scale invasion of the Russian Federation to Ukraine.