NBU: Ukraine's international reserves increased by 10% to $31.9 bln in March
This was reportedly due, in particular, to a decrease in net sales of foreign currency by the NBU, moderate debt repayments, and financial inflows from international partners
The National Bank of Ukraine reports that the state accumulated $31.9 billion in international reserves as of 1 April, which is a record amount of reserves over the past 11 years.
This is stated in the report of the regulator.
It is specified that last month, government foreign currency borrowings amounted to $5.1 billion, including $1.8 billion from the Canadian government, $1.6 billion from the EU, and $1.3 billion from the United States through the World Bank's trust fund.
In addition, the regulator adds, that the reserves were maintained due to the fact that the NBU reduced the volume of interventions in the foreign exchange market for the third consecutive month.
"In March, such dynamics were driven by the seasonal factor, limiting unproductive capital outflows (including through the regulation of gambling activities), and stabilising exchange rate expectations due to the NBU's consistent monetary policy and the refusal to directly finance the budget deficit in 2023," the NBU says.