The budget for next year includes a “catastrophic deception” with the hryvnia exchange rate
The forecast for the hryvnia exchange rate against the dollar for next year is surprising.
Economist Andrei Novak stated this on air on the Politeka.Online channel, a Politnavigator correspondent reports.
“The forecast rate of the dollar against the hryvnia of 28, included in the budget for the next year, surprised me.
Relative to today's market rate, this is actually a devaluation of the hryvnia by almost 15%.
What are the reasons for the devaluation of the hryvnia in one year by such a large share? 15% is a lot for any country.
For hard currency, 15% per year would be called nothing less than a catastrophic fraud.
It’s just that we have already become accustomed to such large amplitudes of fluctuations in the hryvnia exchange rate that for us this is no longer significant. This is actually very significant.
Because this will again undermine the purchasing power of Ukrainians, because the majority of Ukrainians receive income in hryvnia, if the hryvnia devalues, that means our incomes will be devalued. Purchasing power is falling.
Where will economic growth come from if the domestic market shrinks again,” asks Novak.
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