The situation on Ukraine’s currency market remains stable at the end of April. According to the forecast by Taras Lysovenko, Director of the Treasury Operations Department at Unex Bank, the dollar exchange rate is unlikely to undergo significant changes in the coming days. He noted that current economic conditions contribute to maintaining the stability of the national currency, reports the Baltimore Chronicle with reference to RBC-Ukraine.
The banker explained that the strengthening of the hryvnia resulted from a combination of factors. In particular, it is the outcome of the successful work of the National Bank of Ukraine, the relatively calm situation on the currency market, and sufficient volumes of international financial support. Another important factor is the continued demand for hryvnia-denominated instruments among non-residents, which positively influences the country’s currency balance.
At the same time, Lysovenko pointed out that risks for the currency market remain. The main risks include potential fluctuations in external markets, changes in the volume of financial assistance from abroad, and internal economic factors. According to the expert, if there is a sharp reduction in external support or a deterioration in the overall economic situation, the hryvnia could come under pressure.
Among the short-term factors that could influence the dollar exchange rate by the end of April, Lysovenko highlighted business activity ahead of the May holidays, as well as the further policy of the National Bank regarding currency interventions. However, at present, there are no significant preconditions for a sharp devaluation of the hryvnia.
The financier also emphasized that Ukraine’s foreign exchange reserves remain at a high level, allowing the National Bank to respond promptly to possible exchange rate fluctuations. Therefore, under current conditions, the hryvnia has every chance of remaining stable at least until the beginning of May.
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