REUTERS
The strengthening of the hryvnia exchange rate to the U.S. dollar is one of the key factors in slowing inflation throughout 2019.
Record grain exports were one of the main factors that influenced the strengthening of the hryvnia and helped slow down inflation in January-November 2019.
"The strengthening of the hryvnia exchange rate to the U.S. dollar is one of the key factors in the inflation slowdown in 2019. The main factors that affected the foreign exchange market in January-November 2019 were the record export of grain crops in MY 2018/2019 and MY 2019/2020, lower prices for gas, oil and petroleum products, as well as demand for hryvnia-denominated government bonds on the part of non-residents," reads the Finance Ministry's December macroeconomic review.
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As UNIAN reported earlier, inflation in Ukraine in November 2019 slowed to 5.1% year-over-year (y-o-y) against 6.5% recorded in October 2019 y-o-y.
Ukrainian agribusinesses exported 29.4 million tonnes of grain from July 1, 2019, the start of the 2019-2020 marketing year (MY), to December 23, 2019.
Ukrainian agribusinesses in MY 2018-2019 exported 49.7 million tonnes of cereals, which was a record high over the years of Ukraine's independence.