OREANDA-NEWS. Preliminary data suggests that as of 1 January 2016, Ukraine's international reserves amounted to the equivalent of USD 13,300 million.   In 2015, the reserves rose by 77%, or by USD 5,767 million.   Last year's increase in the international reserves was mainly attributable to the arrival of funding from the IMF and related official financing. Additionally, to replenish the reserves, the NBU was buying foreign currency directly in the interbank market and through FX auctions introduced in September 2015.

During December, the international reserves rose by USD 152 million due to the auctions held by the NBU.  The NBU purchased USD 120 million through FX auctions held in December.  Given that USD 28.6 million was sold through auctions in December, NBU net FX purchases amounted to USD 91.4 million.

USD 88.7 in revenues from CNY/UAH swap operations and the equivalent of USD 11.3 million disbursed by the European Commission to the Government of Ukraine contributed to the growth in the international reserves.

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 December, Ukraine paid back USD 196.4 million (excluding repayments due to the IMF), including USD 162.0 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.  

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.