REUTERS
The National Bank intensified its interventions to handle excessive fluctuations.
Senior research analyst with the Alpari investment company Vadym Iossub says the hryvnia, Ukraine's national currency, may strengthen against the U.S. dollar on April 3-10, to UAH 26.8 per dollar.
Read alsoUkraine's official hryvnia continues strengthening, set at UAH 27.37 to U.S. dollar on April 6
"We expect a decrease in the dollar rate against the hryvnia in the next seven days. In a week, the dollar on the interbank market may be traded at about UAH 26.9, while cash dollars in banks are expected to be traded at about UAH 26.8/27.2," he told the Ukrainian online news outlet Obozrevatel on April 4.
The National Bank of Ukraine (NBU) explained what was behind the latest developments on the forex market in its macroeconomic and monetary review for March. The regulator says the deterioration of the situation in the global financial and commodity markets, along with increased uncertainty in the domestic market, provoked the growing turbulence on the forex market.
At the same time, the NBU intensified its interventions to handle excessive fluctuations, while not opposing market trends.
The positive news was the announcement that the International Monetary Fund and the Ukrainian side had made progress on further financial support for the country. In particular, this refers to the legislation on the launch of the farmland market in Ukraine.
On the other hand, households and businesses have less money to buy foreign currency, while small- and medium-sized companies have suspended their activities, the expert added.