Bloomberg: NBU has right to control scope of hryvnia sales
2012-11-07 10:39:50
The National Bank of Ukraine (NBU) will determine the amount and terms of obligatory sales of foreign currency earnings on the interbank market.
Bloomberg reported this, while commenting on the approval by the Verkhovna Rada of Ukraine in first reading of a respective bill that was prepared by the NBU.
"Ukrainian central bank will have the right to determine the amount and terms of obligatory sales of currency earnings after parliament approved a law to support the hryvnia," reads the article.
Bloomberg also cited Vladislav Sochinsky, the treasurer at Citigroup Inc.'s Ukrainian unit, as saying that the introduction of obligatory sales "will increase the supply of foreign currency on the interbank market and will ease the pressure on central bank reserves."
"The fact that the regulator will have the freedom to decide the amount of sale and tenor is positive and clearly increases the flexibility in the decision- making process," Sochinsky said.
Bloomberg also recalled that the National Bank of Ukraine regulates the exchange rate of the hryvnia by buying and selling dollars.