The National Bank of Ukraine reported that the country's foreign exchange reserves reached almost $39 billion, the highest in history. The reasons for this state of affairs have been indicated.
The National Bank of Ukraine reported that the country's foreign exchange reserves reached almost $39 billion, the highest in history. The reasons for this state of affairs have been indicated. The importance of international assistance provided to Ukraine by Western countries and the transactions conducted by the central bank on the domestic currency market were emphasized.
On July 6, data on the amount of foreign currency reserves held by Ukrainians was published on the website of the National Bank of Ukraine. The data presented there shows that the value of these reserves amounted to USD 38.99 billion at the beginning of this month. It was noted that this is the highest level since the creation of Ukraine. The institutions and countries that contributed most to the record-breaking growth of Ukrainian foreign exchange reserves were also listed.
The National Bank of Ukraine noted that foreign exchange reserves were already at a record high in June, when they recorded an increase of 4.5 percent. This trend continued in the following month. The central bank stated that international aid, recently provided to Ukraine by Western countries and international financial institutions, played an important role in this context.
According to data published by the NBU, the government in Kyiv received the most money in June from the European Union – it was over $1.6 billion.
The United States, through the World Bank trust fund, provided approximately $1.2 billion. In turn, the International Monetary Fund provided aid to Ukraine in the amount of USD 886 million. It also lists the funds coming directly from the World Bank (69.1 million) and the amount provided by the Finnish government (15 million). In total, more than $4.2 billion was credited to the government's foreign currency accounts at the NBU.
The Ukrainian central bank stated that NBU transactions on the domestic currency market also played an important role in increasing reserves. In June, the National Bank of Ukraine sold $1.863 billion. At the same time, it was emphasized that “receipts from international partners remained much greater than the number of sales interventions conducted by the NBU to fill the gap between supply and demand in the Ukrainian currency market.”
The bank also noted that a new valuation of financial instruments was made, which increased their value by $81.3 million in June.