Ukrainians should not expect a sharp devaluation of the hryvnia in the first week of September, according to a leading financial analyst.
Taras Lesovyi, director of financial markets and investment activities at Globus Bank, told the UNIAN news agency that the United States dollar will trade between 44.6 and 45.1 hryvnias on the interbank market until September 6. On the retail cash market, the dollar will trade between 44.6 and 45.2 hryvnias.
This means buyers will need to pay between 4,460 and 4,520 hryvnias for 100 dollars, and between 44,600 and 45,200 hryvnias for 1,000 dollars.
Market pressures
Lesovyi said the currency market will face simultaneous pressure from several factors in the coming weeks. He cited military risks, the overall state of foreign trade, and demand for foreign currency from importers as the main drivers of market activity.
The Ukrainian economy has operated under severe strain since the Russian invasion in 2022. The National Bank of Ukraine, the country's central bank, relies heavily on international financial assistance from Western allies to support the state budget and maintain the stability of the national currency through interventions in the market.
Globus Bank is a Ukrainian commercial bank headquartered in Kyiv that provides services to both corporate clients and individuals.
Lesovyi also provided a forecast for the European currency. He said the euro will trade between 51 and 52.5 hryvnias on both the interbank and cash markets during the first week of September.
Official exchange rates
The interbank market is where banks trade currencies with each other, while the cash market reflects the rates offered to the general public at exchange booths and bank branches. Fluctuation limits on both markets may appear quite wide, Lesovyi added.
The National Bank of Ukraine set the official exchange rate for Monday, August 31, at 44.55 hryvnias to the dollar. The official rate for the euro was set at 51.88 hryvnias.
On the interbank currency market, quotes for the hryvnia against the dollar settled at 44.51 to 44.56, while quotes against the euro stood at 51.90 to 51.92.
