Preliminary data showed that as of 1 November 2019, Ukraine's international reserves stood at USD 21,402.9 million (in the equivalent). In October reserves slightly changed only by 0.2%. The public debt was reimbursed on the account of external financing, as well as foreign exchange interventions of the National Bank of Ukraine (NBU) and international reserves operations.
Overall, during the month, international reserves were affected by the following factors:
- first, Government’s servicing the government debt. Last month, the government spent USD 632.3 million (in the equivalent) on servicing and repayment of public and publicly guaranteed debt denominated in foreign currency. That includes USD 475.5 billion allocated for servicing and repayment of domestic government bonds in foreign currency and USD 78.0 million – on Eurobonds. The remaining funds were used to meet other liabilities to foreign creditors and international financial institutions. These expenses were partly compensated by revenues of the Government of EUR 262.1 million from international partners, including the European Commission.
- second, the NBU’s FX interbank transactions. Excessive supply of foreign currency created by Ukrainian exporters and foreign portfolio investors provided the NBU the means to replenish reserves by USD 193.9 million (net purchase). Overall, the NBU bought foreign currency for USD 424.9 million, whereof USD 274.9 million – single rate interventions, and USD 150.0 million – best-rate interventions. To smooth out downward exchange rate fluctuations of hryvnia, the NBU sold USD 231.0 million in a month, by intervening at a single exchange rate.
- third, the revaluation of financial instruments (due to changes in their market value and changes in the exchange rate of the hryvnia against foreign currencies). Last month, the value of financial instruments increased by USD 115.0 million (in the equivalent).
The international reserves could pay for 3.4 months of imports. This was sufficient for Ukraine to discharge its obligations, and for the government and the NBU to conduct their current operations.
Data on the international reserves and foreign currency liquidity are compiled and distributed on a monthly basis:
- for preliminary data, no later than on the seventh day following the reporting month
- for revised data, no later than on the 21st day following the reporting month.
Revised data are available here.