NBU plan of measures to ease foreign exchange restrictions: how this will affect the hryvnia exchange rate in June

31 May 2023, 15:11 | Finance and Banking
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Despite the fact that in June the National Bank is expected to publish a plan of measures to ease foreign exchange restrictions, the official hryvnia exchange rate will remain unchanged in the first month of summer. This forecast was made by an independent financial expert, candidate of economic sciences Alexander Khmelevsky, ICTV Facts reports..

The expert admitted that some events can "

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Among the possible reasons for this development of the situation, the expert called the aggravation of hostilities and enemy attacks on critical infrastructure and residential buildings..

" The exchange rate will fluctuate between UAH 37-38 per dollar,"

In his opinion, even despite the fact that in June the NBU should prepare a plan of measures to ease foreign exchange restrictions at the request of the International Monetary Fund in early summer, it will keep the official exchange rate unchanged..

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Recall that the National Bank is developing a roadmap for easing foreign exchange restrictions, including the restoration of exchange rate flexibility and a return to inflation targeting. The priority will be the restrictions that most expose market mechanisms and hinder business activities..

According to the NBU, the roadmap will set priorities for the removal of foreign exchange restrictions, taking into account the benefits and disadvantages associated with their application..

The National Bank believes that the preparation of the strategy by the end of June 2023 is a key step in the new IMF extended financing program.

The regulator said it would first take steps to minimize currency multiplicity, ease trade restrictions, and promote new investment..

Currency liberalization will be carried out in stages without specific dates, taking into account macroeconomic conditions and analysis of the impact on the foreign exchange market and the economy.




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