Ukraine’s central bank ready to change hryvnia’s official rate to US dollar
In a move to curb inflation
Ukraine’s Central Bank is considering possibility of changing the hryvnia’s official rate of 5.05 to the US dollar into 4.90 – 5.30. Central Bank Council chief Petro Poroshenko claimed this, speaking at “Bullying the Bears” IV annual international conference, organized by Concord Capital investment bank on Thursday.
According to an UNIAN correspondent, P.Poroshenko did not say which way the bank may move the rate, but it has let the hryvnia strengthen beyond its upper limit to the dollar in recent weeks without intervening.
At the same time, P.Poroshenko stressed that, as of today, there is no certain tendency towards strenghtening the Ukraine’s national currency.
Until recently, the central bank had been intervening to keep the corridor within a tight band of 5.00-5.06. The official rate of 5.05 has been maintained since August 2005.
According to Reuters, referring to the words of c.bank head Volodymyr Stelmakh, they talked about changing the hryvnia`s rate in conjunction with attempts to curb inflation, which reached 26 percent year-on-year in March. That was a further indication that the bank might be thinking of allowing the hryvnia to strengthen.