Ukrainian hryvnia's purchasing power down by 92.9% – NBU

Director of the National Bank of Ukraine (NBU) Cash Circulation Department Viktor Zaivenko says the purchasing power of Ukraine's national currency, the hryvnia, has decreased by 92.9% since its introduction in 1996.

"Compared to 1996, the purchasing power of a banknote of UAH 1 denomination is 7 kopiykas, that of UAH 2 denomination – at 14 kopiykas, UAH 5 denomination – at 36 kopiykas, and UAH 10 denomination – at 71 kopiykas," Zaivenko told a briefing in Kyiv on June 26.

According to the official, coins of smaller denominations lost their purchasing power, while the spending on their minting now exceeds their cost.

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UNIAN memo. Ukraine in September 1996 conducted a monetary reform, which resulted in the Ukrainian hryvnia becoming the only legitimate means of payment in the country.

Today, banknotes of 1, 2, 5, 10, 20, 50, 100, 200, and 500 denomination are in circulation. Coins are available at 1, 2, 5, 10, 25, 50 kopiykas, as well as of 1 hryvnia and 2 hryvnia denominations.

The regulator announced the issue in 2019-2020 of coins of UAH 5 and UAH 10 denomination, which will in due course replace banknotes of the corresponding denominations.

The National Bank ceases coinage of 1, 2, 5 and 25 kopiykas, while introducing rules for rounding downwards the total purchase amount at 1-4 kopiykas or upwards at 5-9 kopiykas purchases.