The return to floating exchange rate formation will be gradual.
The National Bank has stated that it will return to floating exchange rates and the use of the discount rate as the main instrument of monetary policy as the normalization of the economy and financial system. This is discussed in the NBU's monthly macroeconomic and monetary review.
The National Bank noted that administrative restrictions on the foreign exchange market, as well as fixing the discount rate, are temporary measures.
Yes, if possible to restore the ability of the foreign exchange market to self-balance, the NBU will ease restrictions and gradually return to floating exchange rates.
And as uncertainty decreases and the efficiency of monetary transmission channels increases, the NBU will resume the forecast cycle and return to using the key rate as the main monetary instrument.
It will be recalled that on February 24, the NBU fixed the dollar exchange rate at UAH 29.25. However, as early as April , the official hryvnia exchange rate set by the National Bank during the war was almost the same as the black exchange rate of the black market, the cash market, and the hryvnia exchange rate abroad.
