Ukrainians are Buying up Dollars While National Bank is Getting Rid of Euro

The amount of the foreign currency bought by individuals has hiked in September to a record breaking $2.9 billion.

Kommersant-Ukraine reportsthat the NBU released the following numbers: the cash marketdeficit in the amount of $1.8 billion has pressured the Interbankexchange and made the NBU conduct the largest interventions in thepast year - their negative balance constituted $1.51 billion.However, the regulator did not sell a single dollar. The NBU wasgetting rid of the euro (1.2 billion euro at the price of 10.13UAH/EUR) and the British pound (200 million at 12.7 UAH/GBP).

"The right way to sell dollars is that the National Bank announcesan intervention but it sold euros to Oschadbank (the State Bank)which it converted into dollars and sold in the market," explaineda manager of one of the large banks. After hryvnia's drop onSeptember 4, Oschadbank came out on the market the next day with anoffer of large currency volumes at 8.14 UAH/USD.

"The NBU explained that it is much easier for them to conductinterventions through state owned banks," says a treasurer of oneof the large banks, "Converting euros into dollars is a technicaloperation and it is conducted in seconds. Probably the NBU thoughtthat considering the current rates it was more profitable to sellthe euro."

Bankers who the journalists talked to asked not to mention theirnames or banks where they work. "Considering the way that the NBUreacts to anything related to currency and reserves they willimplement sanctions against us. You don't want me to get fired, doyou?" explained one of them.

The National Bank is not hiding the fact that they are changing thereserve structure with plans to use different currencies,particularly Canadian, Singapore and Swiss.

"We are considering such option and have presented our proposals tothe management," said head of Currency Reserve Department of theNBU Oleksandr Dubihvost.

The idea to diversify currency risks is reasonable, "But there isreally nothing to talk about yet since we don't know the currenciesand terms of investment. The National Bank keeps it a secret,"noted one of the bankers.

Financial experts have no doubts that currency demand dynamics willbe similar to the end of last year.

"It started in 2010, when September sees the largest hike incurrency buying. It happened again last year and we had the samething recently," stressed a treasury director of a large bank,"People are buying currency and deposit most of it in theiraccounts. We can already see the decrease in demand, people startedto buy less."

Источник: https://en.censor.net.ua/n220060