Ukrainian authorities are driven into a corner, – Le Figaro
Kyiv, February 17 (PolitNavigator, Alexander Semenyuta) – Despite the IMF’s promise to provide Ukraine with a loan of $17 billion and the assurances of government members, a default of the Ukrainian economy is possible. The French Le Figaro writes about this.
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“The hryvnia exchange rate has reached another historical low in recent days. Over the year, it lost 66% of its value against the dollar, 40% of which occurred in recent months,” the publication notes.
Moreover, since February 5, when the National Bank of Ukraine, at the request of the IMF, stopped interfering in maintaining the exchange rate, its decline only accelerated.
“Every time we think the exchange rate has bottomed out, the economic situation only continues to worsen. This is an absolute disaster,” Julien Marcilli, an economist at the French insurance company Coface, assesses the situation.
The depreciation of the national currency leads to increased inflation and higher prices for imported goods.
“The Ukrainian government is essentially driven into a corner. The National Bank’s foreign exchange reserves are depleting: in January they amounted to $6 billion. This amount is enough to cover the volume of imports for a month, while it is necessary to cover at least three,” the publication sums up.
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