Preliminary data suggests that as of 1 February 2016, Ukraine's international reserves amounted to the equivalent of USD 13.148 billion. Over the first month of the year, Ukraine’s international reserves increased by 1% or USD 142 million. In annual terms, the reserves doubled.
The funds raised from the placement of domestic sovereign bonds denominated in US dollars contributed to the increase in Ukraine’s international reserves in January 2016. The Government raised USD 486.1 million.
The revenues from swap operations amounted USD 84.5 million.
Ukraine’s international reserves expanded despite the need for the Government to make payments related to the repayment and service of public and publicly guaranteed debt denominated in foreign currency. In January, Ukraine paid back USD 422.7 million, including USD 344.2 million in principal and interest payments on government securities. Additionally, the Ukrainian Government and the NBU paid a USD 173.5 million installment due to the IMF.
Furthermore, the NBU conducted FX auctions to smooth exchange rate fluctuations of the hryvnia. To this end, the NBU purchased USD 43.5 million and sold USD 117.8 million during the month. In January, NBU net FX purchases amounted to USD 74.3 million.
Currently, the amount of Ukraine’s international reserves is sufficient to cover 3.4 months of future imports and enable the Government and the NBU to settle their foreign debt obligations and current operations.