Ukraine’s international reserves decreased by $660 million in a month: NBU
This is caused by the NBU's currency interventions to cover the structural currency deficit on the market and smooth out exchange rate fluctuations.
As of August 1, 2024, the international reserves of Ukraine amounted to 37,231.9 million US dollars, which is 1.8% less compared to the previous month. In July, they decreased by more than $600 million. About it reported press service of the National Bank of Ukraine.
The decrease in reserves was caused by the NBU’s currency interventions to cover the structural currency deficit in the market and smooth out exchange rate fluctuations. In addition, the reserves were affected by debt payments in foreign currency. Part of the costs were offset by income from foreign exchange bonds and international partners. In July, the NBU’s net sale of currency amounted to USD 3,305.0 million.
According to NBU data, 185.0 million US dollars were spent on servicing and repaying the state debt in foreign currency, in particular:
- 77.0 million US dollars – for servicing and repaying the debt to the World Bank;
- USD 70.5 million – for payments on government derivatives;
- USD 20.1 million – for servicing and repayment of foreign currency bonds;
- 17.4 million US dollars – for payments to other international creditors.
At the same time, USD 2,482.7 million was deposited into the government’s foreign currency accounts at the National Bank, of which:
- 2,197.0 million US dollars – from the International Monetary Fund;
- USD 285.7 million – from the placement of foreign currency bonds.
At the beginning of August, Ukraine received a grant from the United States of America in the amount of $3.9 billion, which increased international reserves to more than $40 billion.
From 2022 to 2024, Ukraine received $73.573 billion from international partners, of which $16.020 billion is for 2024. These funds are of crucial importance for ensuring the sustainability of public administration and the country’s financial stability.
As of July 1, 2024, the international reserves of Ukraine amounted to 37,894.2 million US dollars. In June, they decreased by $1.14 billion (2.9%).
