Since the beginning of the year the hryvnia’s official rate has fallen against the dollar by more than 1.8 times, or by UAH 11.99.
Some quotes for the hryvnia against the dollar on the interbank market, taking into account commission payments, reached UAH 24.50/27.50 to the dollar.
As UNIAN reported earlier, in 2014, the National Bank of Ukraine moved to flexible exchange rate formation on the foreign exchange market, which resulted in the hryvnia practically halving in value against the dollar.
In late 2014, the NBU shifted to a symbiosis of market and administrative rate regulation, setting an indicative rate for the market through daily auctions in the interbank foreign exchange market using small quantities of its reserves.
As reported earlier, on February 5 the National Bank of Ukraine gave up conducting daily auctions in the currency market due to the loss of their effectiveness and the revitalization of the black currency market.
After the cancellation of the daily auctions the hryvnia’s official rate fell against the dollar by more than 1.5 times over a few days.
On February 24 the National Bank of Ukraine introduced a number of restrictions on the foreign exchange market, including the mandatory inspection of import contracts with an advance payment worth more than $50,000, the obligatory registration of letter of credits to complete import contracts with advance payments worth more than $500,000, and a prohibition on lending to buy currency.
