Speaking to mass media representatives at the Information meeting on “NBU statistical products: opportunities for users”, which was hosted by the National Bank of Ukraine on 6 July, Mr. Valerii Lytvytskyi, Head of the NBU Governor’s Group of Advisers, said that he sees no reason for sharp exchange rate fluctuations.

Mr. Valerii Lytvytskyi dismissed speculations made by some experts and analysts about the national currency devaluation: “The devaluationary speculations are rootless. There are no sufficient grounds to expect that the hryvnia will depreciate against the dollar after elections”.

“The experts who believe that the policy pursued by the central bank is based on the dates linked to political cycles are either deluding themselves or deliberately trying to shatter the market and make more money by carrying out speculative transactions. Speculations that the central bank uses some dates are political rather than economic. These people simply generate devaluation expectations. Exchange rate fluctuations cause prices to change. As a result, politicians benefit from a shift in prices,” said Mr. Valerii Lytvytskyi.

According to him, some people are not aware of the fact that devaluation artificially triggered by these speculations and buying up foreign exchange lead to a rise in inflation, drive up the cost of investments and loans.

The Head of the NBU Governor’s Group of Advisers asserted that hryvnia would remain stable as no capital outflows are recorded in Ukraine; the balance of payments shows a surplus and inflation hits record low.