After the kidnapping of cash collectors: NBU to exchange non-cash currency for cash
7 March 08:11
The National Bank will conduct an operation to exchange non-cash currency of banks for cash. This was due to possible logistical difficulties with currency after the capture of cash collectors in Hungary.
This was reported by "Komersant Ukrainian" with reference to the NBU press center.
On March 9, the National Bank of Ukraine will conduct an operation to exchange non-cash currency of banks for cash to support the cash reserves of banking institutions.
As explained by the regulator, this is a preventive measure that, if necessary, will allow maintaining an adequate level of cash currency liquidity of banks to meet the needs of the population.
Currently, the situation with cash currency on the currency market remains stable. Banks have sufficient cash currency reserves, and the volume of average daily balances in bank cash registers corresponds to last year’s figures.
At the same time, the illegal seizure of Oschadbank cash collection vehicles in Hungary may cause temporary logistical difficulties with the delivery of cash from abroad.
In view of this, the regulator will, if necessary, conduct operations to exchange banks’ non-cash currency for cash to replenish cash registers. The frequency and volume of such operations will depend on the banking system’s need for currency liquidity.
The National Bank noted that, in general, the situation on the currency market remains stable. Under the managed flexibility regime, the exchange rate responds to the balance of currency supply and demand and can move in either direction.
This week, market quotes and expectations were influenced by both external and internal factors. In particular, the intensification of hostilities in the Middle East increased volatility in global commodity and financial markets.
In addition, at the beginning of the week and month, net demand for currency traditionally increases. This is due to the fact that banks buy it to cover card and cash transactions after the weekend, as well as due to the renewal of limits on online currency purchases by the population and the transfer of dividends by businesses.
As these factors are exhausted, the market balance improves and exchange rate dynamics change accordingly.
The regulator added that it is closely monitoring the situation and will smooth out excessive exchange rate fluctuations. At the same time, international reserves are sufficient to maintain the stability of the currency market.
The regulator also stressed that cash-to-non-cash currency exchange transactions between the National Bank and banks will not affect the volume of Ukraine’s international reserves.
Delay of Oschadbank cash collectors in Hungary
As is known, Hungary recently detained two vehicles belonging to Oschadbank’s cash collection service and seven Ukrainian citizens who were part of the cash collection team without justification.
They were carrying out regular transportation of foreign currency and bank metals between Raiffeisen Bank Austria and Oschadbank of Ukraine.
The NBU then issued an official statement accusing Hungary of illegally seizing the state bank’s cash collection teams, and the Ukrainian Foreign Ministry expressed outrage at the situation.
