Economy and politics

The National Bank of Ukraine (NBU) officially stated its support for prolonging the loans terms for agrarians until June 1, 2009. According to the Prime Minister of Ukraine, Yuliya Tymoshenko, the NBU confirmed its support at their last meeting on Tuesday.

Recently, the National Bank of Ukraine disclosed that, in the period October 1-November 1, private bank deposits in UAH (hryvnia) and foreign currency fell by 4.1% (or UAH 8.378 bln) from UAH 204.376 bln to UAH 195.997 bln. In particular during this period, private deposits in UAH fell by 9.8% (or UAH 12.396 bln) from UAH 126.686 bln to UAH 114.290 bln. Corporate deposits in UAH and foreign currency fell by 0.6% (or UAH 0.835 bln) from UAH 135.782 bln to UAH 134.947 bln.

According to an announcement by the State Statistics Committee of Ukraine, net FDI inflow to Ukraine in quarterly terms has slowed down to USD 1.17 bln, compared to USD 3.66 bln in 1Q08 and USD 3.55 bln in 2Q08, thus totaling USD 8.08 bln for the period January-September 2008.

The State Statistics Committee of Ukraine released figures about real GDP dynamics in October; GDP fell 2.1% YoY, compared to 5.5% YoY growth in September. GDP in January-October grew 5.8% YoY, compared to 6.9% YoY growth in January-September.

The National Committee of Statistics has announced that the trade balance deficit in January–September 2008 reached USD 10.3 bln, which is USD 6.5 bln (171%) greater than the trade balance deficit in January–September 2007.

The National Committee of Statistics has announced that Ukraine’s industrial output contracted 7.6% MoM in October after falling 4.1% MoM in September.

The National Bank of Ukraine (NBU) announced that M0 grew 1.5% MoM in October (22.2% YTD) and reached UAH 173.4 bln (USD 29.9 bln), while M2 grew 0.3% MoM (20.9% YTD) and reached UAH 479.0 bln (USD 82.7 bln).

Ukraine’s Minister of Finance, Viktor Pinzenyk, announced that the first part of the USD 4.5 bln approved IMF standby loan was received by the National Bank of Ukraine (NBU).

The National Committee of Statistics has announced that PPI fell 1.4% MoM in October after a 1.8% MoM drop in September. Therefore, PPI grew 32.1% YTD and 37.7% YoY.

The National Bank of Ukraine (NBU) announced that the country’s foreign reserves fell 14.9% MoM in October USD 5.6 bln) reaching USD 31.9 bln. The reserves fell 1.7% YTD (USD 539 bln). The balance of the NBU foreign exchange market interventions in October was USD 4.1 bln.