Most foreign exchange transactions will continue at a fixed rate.
The National Bank clarified the alleged abolition of the fixed dollar exchange rate, which was at UAH 29.25, and states that this exchange rate remains valid for the entire non-cash segment, ie for most transactions in the foreign exchange market. The relevant explanation was published on the NBU's Facebook page.
“ The official exchange rate of the hryvnia to the US dollar remains fixed at UAH 29.25/USD. “Fixing the exchange rate allows you to curb inflation (due to cheaper critical imports) and keep inflationary expectations under control,” – said in a statement.
Restrictions on setting the exchange rate by banks in the non-cash segment also remain unchanged currency market.
“Banks must continue to conduct transactions for the purchase and sale of non-cash currency with customers at a rate that is in the range where the lower limit is the official rate, and the top – the official rate of + 1% “, – noted in the NBU.
The National Bank emphasizes that most operations in the foreign exchange market are carried out in its non-cash segment, where, in particular, exporters and importers sell and buy non-cash currency. In the event of a currency deficit in the market, the NBU closes it by selling currency from international reserves.
Read also: In Ukraine, lifted restrictions on the exchange rate style = “text-align: justify;”> The abolition of restrictions on the exchange rate applies only to the cash foreign exchange market.
“The cash market during martial law operates in a limited mode. Banks can sell foreign currency through cash registers only to the extent that they previously bought it from the public. Before the war between cash and non-cash market segments there was almost free flow of cash, plus population At present, the NBU's currency restrictions have set a “curtain” on such flows and the volume of cash sales by banks, “the statement said.
According to the NBU, the cash market is now mostly bought currency for speculative earnings , financing of “gray” imports, which is not critical, as well as the transfer of savings in foreign currency.
None of these areas is a critical priority to support the economy during the war. Therefore, the National Bank does not spend scarce international reserves to smooth out fluctuations in this market segment. equalizes the conditions for banks compared to exchangers, which will increase the efficiency of the cash market and reduce exchange rate fluctuations in it, “- said in a statement.
National Bank of Ukraine also On May 21, 2022, it lifted the restriction on setting the rate at which banks debit hryvnia funds from customers' accounts if customers pay with hryvnia cards abroad or withdraw cash from cards .
“Thus, the NBU creates opportunities for convergence of the currency conversion rate for citizens temporarily abroad and the rate of purchase of cash currency for citizens staying in Ukraine,” the National Bank explains.
According to the NBU, this minimizes” card tourism “.
” According to available data, a significant part operations with hryvnia cards abroad are cash withdrawals from ATMs, a significant part of which is then returned to Ukraine and enters the illegal cash market, meaning that de facto scarce foreign exchange resources can be spent on non-priority wartime needs, which is now important to minimize. Therefore, equalization of conditions of direct (through cash transactions) and indirect (through card transactions) purchase of currency, in Ukraine and abroad, by the population is a measure that will prevent unproductive withdrawal of capital and protect Ukraine's international reserves, “the statement reads. clarification.
