In addition, to shore up the interest rate channel of monetary transmission by managing the structural surplus of liquidity in the banking system, the NBU in February will raise by 2 pp the required reserve ratio for current accounts denominated in hryvnias and current accounts and term deposits in foreign currency.
In March, the central bank will also consider the issue of introducing other measures to regulate the banking system’s structural liquidity surplus. The NBU will continue to intervene in the FX market to smooth out excessive market fluctuations. At the same time, the NBU decided not to carry out daily interventions to purchase foreign currency on the interbank FX market to replenish the reserves.