The National Bank of Ukraine (NBU) plans to intervene daily in the market by selling dollars to reduce “exchange rate distortions,” an analyst reported.
This is reported by Finway
According to the forecast, the dollar exchange rate in Ukrainian banks will fluctuate between 41.20 and 42.20 UAH per dollar by the end of the current week, while in financial company exchange offices, it will range from 41.20 to 42.10 UAH per dollar. Similarly, the euro exchange rate, according to expert Oleksiy Kozyrev, is expected to be between 46.40 and 48.30 UAH per euro in banks, and from 46.50 to 48.10 UAH per euro in financial company exchange offices.
Spreads in Exchange Offices
The expert noted that most exchange offices of financial companies and banks will operate with a spread of 20 to 25 kopecks for the dollar and 20 to 50 kopecks for the euro. Wholesale exchange offices, in turn, will set a spread of 15-20 kopecks for the dollar and about 20-30 kopecks for the euro.
Quotations on the Interbank Market
Kozyrev also predicts that the dollar quotations on the interbank market will remain between 41.40 and 42.05 UAH per dollar, while the euro rate this week will be between 46.57 and 48.15 UAH per euro. He emphasized that “the NBU will have to intervene daily in the market by selling dollars to smooth out exchange rate distortions in our market as much as possible, both for the dollar and, indirectly, for the euro.”