Groysman about hryvnia’s rate: These are seasonal fluctuations, there are no other risks

Source : 112 Ukraine

"I believe there are absolutely no market reasons for Ukrainian currency to depreciate in one way or the other," - said Groysman
14:08, 5 September 2016


Ukrainian Prime Minister Vladimir Groysman considers the current reduction of hryvnia's exchange rate to be seasonal fluctuations and predicts a stable situation on the currency market in the nearest future. This was announced by him to the journalists in Vinnytsya on Saturday, according to the press service of the government.

"The situation is absolutely stable. I think that these are seasonal fluctuations. There are no risks for Ukrainian citizens, we do not see them," - said Groysman, commenting on the recent decline of hryvnia's rate.

According to him, there are objective oscillations, requiring government's interfering.

"I believe that there are absolutely no market reasons for the Ukrainian currency to depreciate in one way or the other," - said Groysman.

Related: Big Mac vs. Borscht: measuring Ukrainian currency

The Prime Minister noted that the National Bank has enough currency reserves. He also stressed that Ukraine has received a positive message from the International Monetary Fund.

"We expect that we will continue our cooperation in September," - said the Prime Minister.

According to him, the size of the tranche will amount to more than a billion US dollars.

"These funds will be directed to monetary reserves of the country. A billion - to the foreign exchange reserves, it will affect strengthening of the national currency as well," - he said.

Related: IMF Directors Board to discuss providing financial aid for Ukraine

Ukraine also has a billion dollars of loan guarantees from the United States, which will be directed to the state budget and taken into account in its revenue, said Groysman.

As it was reported earlier, the closing spot quotations of hryvnia to dollar as of September 2 were 26.62 - 26.69 hryvnia per dollar on the interbank foreign exchange market.

On September 5 the National Bank lowered the official hryvnia exchange rate by the 2 kopecks and set it at the level of 26.63 hryvnia for one dollar.

As we reported, IMF is to decide on the allocating of financial assistance to Ukraine soon.

Related: Poroshenko: IMF to decide on allocation of financial assistance for Ukraine in near future

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