- Ukraine’s international reserves grew by USD 170 mn in November
The UX index decreased by 0.6% yesterday and the PFTS index was down by 0.1% (in UAH terms). The WIG-Ukraine index increased by 0.2%. On the interbank exchange market, the USD/UAH was down by 0.4% to UAH 27.10 (mid price), according to Thomson Reuters. The official exchange rate reported by the NBU was UAH 27.22.
Ukraine’s international reserves grew by USD 170 mn in November
According to the preliminary information provided by the National Bank of Ukraine (NBU), as of December 1, 2017, international reserves reached USD 18,906 mn, growing by USD 170 mn (+0.9% m/m) during November. Since the year beginning, reserves grew almost by 22.0%. Reserves were replenished by USD 664 mn through the issue of foreign currency local bonds, and by USD 139 mn as a result of the Banks’s trading activities on the interbank foreign currency market. Meanwhile the NBU spent USD 447 mn and USD 358 mn to service its debt to the IMF and to the OVDP holders during the previous month. In addition, the Bank paid back USD 100 mn borrowed in October within the swap transaction with one of the local banks. As of December 1, 2017, the amount of international reserves covers 3.7 months of future imports and all current foreign obligations of the Central Bank and the Government.
To cover significant payments on the sovereign debt servicing during November 2017, Ukraine’s Government decided to issue more OVDPs, instead of using international reserves, which in combination with positive result of the operations on the interbank foreign currency market led to the reserve’s growth. Previously the NBU revised its reserves forecasts for the end of 2017, reducing the final target from USD 20 bn to the level of USD 18.6 bn, which is already reached.
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