The decrease in international reserves by 1.3% in May is primarily due to the processing of public debt this year. The National Bank of Ukraine notes that in general reserves remain at the level of the beginning of the year.
The regulator also named several factors that further caused the movement of state reserves, namely:
1. Government debt service. A total of $ 1,476.1 million was allocated to repay the debt from the reserve:
a. 60 million is a payment on IMF loans;
b. 1,009.2 million are payments for OZDP;
c. 337.7 million payments for IGLBs;
d. The remaining funds were paid in accordance with other obligations.
2. Conducting an operation by the National Bank of Ukraine on the foreign exchange market to stabilize the exchange rate. So in May, the NBU bought $ 660.6 million. The sale of currency was not carried out;
3. As a result of the revaluation of financial instruments caused by changes in the value of exchange rates in the market.
At the same time, according to the NBU, “The amount of international reserves covers 4.4 months of future imports, which is quite sufficient for further servicing of its obligations by the state and operations by the government and the National Bank of Ukraine.”