The National Bank has reported that the upcoming arrival of international financial assistance should contribute to maintaining the stability of Ukraine’s foreign exchange market.
As noted in the message, at the end of February, the EU Council approved the launch of the Ukraine Facility, which will provide €50B for 2024-2027. Within its limits, in March-April, Ukraine should receive transitional financing in the amount of €6B.
“In general, Ukraine can receive more than $10B in March-April. This will increase the volume of international reserves to a record level, which will strengthen the NBU’s ability to ensure exchange rate stability and maintain moderate inflation,” the report said.
The NBU notes that after a temporary December spike in net demand on the foreign exchange market, the pressure on international reserves significantly decreased from January to March. This was primarily facilitated by more moderate budget expenditures and a faster-than-expected increase in the capacity of the sea corridor, which ensured the expansion of exports.