of ukraine kyryll shevchenko, according to which the national bank of ukraine called on the national bank to maintain the interest rates on early re financing loans as of june 1 for the period of martial law and three months after its termination. what do you think of the reaction of the aup to the change in the financing starter and which banks, 20 or maybe less, may now close due to the increase in the re financing rate to 25 i am asking an important question. thank you. the constitutional function of the master bank is to preserve the purchasing power of the national currency. and today, all the measures taken by the national bank are negotiations, first of all, on this significant increase in the discount rate, what are the advantages of increasing the attractiveness of hryvnia assets what about that well, we saw that on the one hand there was high inflation and people, if you received some money and they wanted to save it, then they, well, the yield was low on hryvnia assets, then they, well usually they either buy conditional dollars or they may buy household appliances there,

now the banks have an incentive to raise deposit rates, and when the national bank can also make money in this way. does not give the bank the opportunity to heat up there, it stimulates banks to raise the deposit rate the plus rate is an incentive for the ministry of finance of ukraine to raise rates because what happened since the beginning of the year, the national bank bought hryvnias from water giants , that is, de facto, the national bank printed 120 billion uah, this is a very dangerous trend, what if it continues and the national bank says stop , let's not i alone will buy government debt, but no one else wants to, because the rate is low, and with such a step, the national bank is pushing the ministry of finance. not to see because for them, this is an increase in the cost of debt service, but here, on the one hand, it is a debt service mandate, and on the other, there is a potential hyperfunction, and the national bank is pushing the ministry of finance to incur extra costs in our country, and in order for them to raise the rate and this rate increase will create a certain di

that is why the national bank of ukraine has spread such a new broker. mistic news for me or they said uh in general that the non-bank financial market did not have time to clean it properly and something similar to what happened in the 15th and 17th years with banks, when almost half of the companies left the market, and here we see that companies in general are experiencing it is quite good. even if it is in effect. mr. mikhailov, what do you think about this account? last year, it was expected that, this year, the actual cleaning of the non-banking financial market was planned. the requirements for the sector should have become stricter, starting with are the real owners of these companies who is behind them it is worth studying their financial financial statements more scrupulously to see if it corresponds to reality, well, it is clear that now is not the time , and if earlier we expected that many companies would leave the market because of this, because their activities did not meet these high standards, the standards that have increased now these c

i agree, but i wanted to ask about one more news related to the national bank and the banking system,one of the banks seems to be the first bank since the time of the full-scale invasion to go bankrupt megabank, it had many branches in the kharkiv region, of course, there is unrest now, all these branches are closed, closed, but what led to the bankruptcy, why this particular bank , why the others, and here there was such a feature in this one the bank that its minority shareholders were international financial institutions. couldn't they somehow support it before capitalizing it? well, look, if they are mining shareholders, then they should capitalize it mineritarily as a majority, that is, the main owner was a ukrainian and this is ukraine. and apparently not was able to find funds to support the bank well, that's why the national bank is forced to withdraw it from the market again, did someone want to kill megabank well, he didn't want to, but what to do with him in such cases, banks are still very it is a shaky thing because it works with other people's money and therefore it need

was 10% a week ago. the loans banks issued are approximately similar to accounting if the national bank, and the refinancing loan, which was very important for banks, especially during the war, is liquidity support so that banks can cope with martial law, and this moment can fall on the shoulders of borrowers, and thus we we can see borrowers who and also who pay loans because we understand what circumstances they are in. but after that they can start meeting loan rates of 30-35%. the most important thing is the communication of the central bank, today's special period is very important with the market, with banks, with the banking community, and then such negative potential scenarios will not be allowed, which we hope that the national bank will listen to those proposals that we proposed, how to avoid negative consequences, well, very briefly finally the main factor is how to avoid the consequences and whether these 20 banks rely on it. and in general, the banking system with the new rate will probably attract more citizens for deposits, because it is profitable to open deposits with t

the national bank already publishes such decisions that were previously bank secrets. on its website , it was about loans to related parties that the bank did not recognize. that is, this is not the same problem that arose after the beginning of a large-scale invasion . and this the same problem that banks had even in the previous crisis, and there should probably be a little bit of criticism towards the national bank, because banks with such a problem and skimming of their companies are rather a story from past crises that are not was supposed to exist by 2022. well, i agree that there are claims against the central bank, but at the same time, the shareholders should also see what is happening in the structure as the owners of which they are, and it turns out that the international structures did not follow this. saw what was happening well, i think this is a little uh, not the information that we have from the outside, we can only assume that being minority shareholders, having a small share in the bank and not controlling it, they did not uh, directly influence the

deputy director of the department of financial stability of the national bank of ukraine. please, if you take the sphere of the banking banking system as the status of a candidate for euro membership, for which we already have, it is already changing and transforming our system now and in the future, if you take our banking system so i'll be honest, but without exaggeration, it is now completely ready and legally legal. from the point of view of the work of the banks before the integration into the eu, that is, if it gave yes, absolutely, absolutely, that is, no problems, that is, in the banks, if there will be no taking banks, if we are heading tomorrow, for example, in pants in the eu, our banks, in principle, all processes have been established for several years according to the standards of the european regulator, the standards of supervisory bodies, according to the standards of e-e, the directives for the pillar, that is, the regulations on which it is based in general banking legislation, banking work, and what's more, our banks, well, in many cases , they work much better than

, for example, 23%. and in fact, in this system of commercial banks of the national bank, 200 billionurrently closed, that is, which circulate between them in the economy, this money does not go to this banks earn billions of hryvnias there if this money is not given to the economy, what kind of money does the country live on now? by the way if we look at the numbers, we prepared them in advance, so for which penny in general, which penny does the state budget receive, we can see the visualization of the calculations and see that the most taxes are precisely the most money is directed by taxes, it is customs and dividends, the state, the state, state-owned enterprises, 300 billion, on the second step, the national banks, which budget caused 209 billion hryvnias, on the third place, there are already grants and loans from western partners. well, that is, at least the figures seen, first of all, they show that in the conditions of war, ukrainians still provide for their country with their own money, and not what we are told that we are flooded with money from abroad there is no place fo

does not see an opportunity to lend actively, it can place money on deposit certificates of the national bank%, enough for such a limited scale, accordingly, then the bank is interested in attracting more deposits in order to have more of this free money, and accordingly, this is particularly may lead to an increase in deposit rates, and this will allow some of the cash that citizens have to be drawn into the banking system, in particular the cash that was withdrawn in the early days of the war or the cash that exists on this market where actually, in particular, the exchange of hryvnias for cash dollars takes place. and we actually saw this pressure in the last week, that is, two goals: citizens did not rush to buy foreign currency, but took their money to commercial banks at high deposit rates, and the second goal is to stop inflation, which according to forecasts for the end of this year should be 25%. well, more than 20% according to the forecasts of the central bank, if we say that inflation is unfolding precisely because people are actively spending money, and whether it will be possibl

, this is the first and second, we saw about what it means, well, the national bank spent if in december, march and april somewhere on average two billion dollars of our gold-eating reserves, we already spent 3.4 billion dollars in may, and this trend was increasing. plus, we saw what people wanted. well, let's just say, they didn't trust the hryvnia, they started buying more dollars. it's clear that the national bank had to react in some way. he does not react , he raises the discount rate, that is, even today, by raising the discount rate, the value of some financial instruments will increase, that is, the yield of deposits will increase, it is clear that the expediency of intrastate loans, i.e. he writes a theory, i.e. people, p. vasilov, you fall a little, firstly, and secondly, let’s make it a little easier, somehow we’ll explain to people that loans will become more expensive and deposits more profitable, it’s true that if the discount rate rises, it’s like in the economy, it’s correct, that is, usually central banks, well, let’s not take the factors of war are simple, and

the second moment is the logic of the national bank. he explained it and it can be understood in principle . in order to finance the deficit of the state budget, he decided that it should be done by a proportional bank, but at the moment it is not profitable for commercial banks to do it, or for others but a potential buyer of a bond of a domestic state loan, and accordingly, he decided to encourage the ministry of finance to raise the rate for the bond and, accordingly, decided to raise by another 25%, and the ministry of finance, accordingly, should also raise the start of the domestic state loan population as a result, instead of these buying it, the national bank will buy it it is supposedly a commercial bank. this is the logic of the national bank, but in fact what is happening together with the accounting is that the interest rates on loans are rising in us, the economy now needs very strong needs any resources for recovery. and as of today, the national bank said that there will be no resources for you. they will very expensive, a

the national bank changed the bank rate relatively quickly when rates on deposits, loans, etc., and it worked as it should to work now, you need to understand that there is a very limited willingness of banks to lend because there is actually a threat of destruction of assets, cessation of business activities due to war, due to hostilities and the guarantee or insurance mechanism so far, the state has not offered this one side. and the other side is that in the uh, large segment of citizens, in particular, military law enforcement officers, there are quite large revenues due to additional payments, but the same here uh, well, that is, they are relatively so constrained in the way they manage their money and so in fact this additional liquidity is in the banking system, no one is in the forefront there, does not run to withdraw money from the atm and, accordingly, this will lead to the fact that, well, that is, in contrast to again, from the pre-war situation, but now there are deposits for individuals in large banks of up to 8% per annum, but we should not expect that the deposit rate

apparently, he could not find funds for support bank well, that's why the national bank was forced toraw it from the market again, did someone want to kill megabytes? well, he didn't want to, but what to do with it, that is, banks are still such a very shaky thing because they work with other people's money. therefore, it needs strict regulation, and returning to the first question regarding the rate , we simply see an example where the national bank does not have the opportunity to make independent decisions and the consequences of this. turkey yes, the national bank of turkey, yes, the central bank cannot raise rates . in turkey 73%. this will already change for comparison in ukraine, now inflation is 16%. we see what this means in stores, and imagine in turkey 73 the only reason for this is the absence of the independent policy of the national bank. well, in turkey, the lira fell very much, as far as i know, and the exchange rate made, of course, turkish goods more accessible on international markets, but for the residents of turkey themselves, this is not very good news, because t

thus, i think the national bank, the ministry of finance, the government and our authorities as a whole are rightly afraid that on the one hand, helping the economy through money economy and people yes, but we also have all those inflationary factors that we have in ukraine today. in this way, we can simply accelerate the infectious processes and at some stage inflation will become uncontrollable. igor, let's summarize the results . let's just answer whether pensioners should be worried now uh, they will be able to receive payments uh, and if hmm, you shouldn't worry now. maybe in the future you see some risky moment, a risky month for which you should prepare, i want to say right away that everything depends on how the events at the front will develop, this is the same factor that affects virtually everything and the good things that we get for the money that we generate directly in the ukrainian economy, so i think that in principle, if we are talking about, let's say, the same budget employees, then i think in as a whole, the state receives this situation at least in the short-term ,

, and for it to attract other buyers, there was de facto no national bank of choice, they were tolde was no money in the budget, that is, that the central bank did not print money, imitated money and bought back these bonds . of the national bank raised the interest rate, but so far we see that the ministry of finance refuses to raise interest rates and last tuesday there was a sales auction. inflation is 18%, and infection expectations by the end of the year are somewhere around 20-25%. and in this, where the facts have become a failure, is there any calculations, mr. serhiu, where and the limit up to which we can still print and issue money and support the government through the national bank when it becomes dangerous . look, it is already dangerous. the next question is how strong it will be it's dangerous it's like when you first come to the beach and somewhere you start lying on the beach yes you should have left at 10 as long as the sun is not hot you stay at 10:30 stay at 11 at 11:30 stay and every new minute on the beach will cost you very dearly, it will hurt later and the

the second point is about the increase of the national bank rate.d like to make a small remark, first of all, there are several approaches to how the discount rate works . and the rate moves in accordance with the inflation forecast, a completely different picture when we have the key macroeconomic indicator is the exchange rate, and then the decisions on the discount rate are designed to protect either foreign exchange reserves or the exchange rate for today we are moving, as you rightly said, from the manual regime to an intermediate stage, when in the future the national bank of ukraine will resume inflation targeting, but within this intermediate regime, it is necessary for the economy and markets to adapt to the recovery and gradual recovery of movements. the decision was chosen in favor of launching the accounting instrument first rates and later liberalizing decisions regarding the exchange rate are drawn to this, respectively, in the paradigm that the national bank plans to introduce decisions on the accounting rates on imports and reduce th

thus, i think the national bank, the ministry of finance, the government and our government as a wholeaid of what on the one hand, helping through the money of the economy and the economy and some there, yes, but having all those infectious price tags that work in ukraine today, we can thus simply accelerate the infectious processes and at some stage inflation will become uncontrollable pain and suffering, let's just answer anyway, should state employees and pensioners be worried now, will they be able to receive payments, and if you don't need to worry now , maybe in the future you see some risky moment, a risky month for which you should prepare, i want to say right away that everything depends on how the events on the front develop, this is the same factor that affects practically everything and the good things that we get from the money that we generate directly in the ukrainian economy that's why i think that in principle, if we are talking about, let's say, the same budget employees, then i think that in general, the state receives this situation at least as a resort for the shor

that is why the decision of the national bank kept the official exchange rate for them and at the sameime allowed the bank to sell currency through card transactions to ukrainians abroad at a much higher exchange rate, however, it is worth understanding that the volume of e-e exports in current conditions is e-e of the order of 100-150 million dollars, and the volume of intervention was almost half a billion dollars daily. that is, it is definitely not the exporters, you received the revenue, perhaps part of vitalik e-e decided so far the rate is fixed at 29 25 to take advantage of the situation. i really hope that then there could be an import of military equipment, but for obvious reasons we do not have information and cannot discuss it as such. yevgeny do you support this position absolutely i support because it was it was more buying of currency than uh than falling and selling of currency plus it is besides the fact that exporters and rather importers bought currency plus it also seems to me that banks on this market were very active banks i think they expected expected that the n

to print money this was reported by the deputy chairman of the national bank of ukraine serhiy nikolaychuk, however, such an additional emission should occur in extreme cases, adds the financier, and the government and the ministry of finance should cover the state budget deficit at the expense of loans, in particular, from the european union international monetary fund of the united states, all our external creditors, bank exchangers, the dollar is worth more than 35 hryvnias , while at the beginning of the war it was less than 30 hryvnias in the world energy sources and food are growing rapidly inflation, which has lasted for decades, is breaking records all over the planet according to the latest official data in may, for example, prices in the united states of america increased by 8.6% year-on-year in april, this indicator was three-tenths smaller than this has not been recorded in the last 40 years reported the labor skills of the united states more than eight percent was the growth of consumer prices in the eu, which is 7% points more than in april, the central bank of eu

as for the goal, when we talk about the dollar exchange rate, we must understand that the national bank of ukraine has unprecedentedly raised the refinancing rate to 25%. that is, on the account, he thinks that in this way he will tie up the cash supply and this will slow down the inflationary processes, eh, at the same time, well, so far we see the exchange rate, it has not been released, eh, critical imports are being paid for, eh, well, they think they are melting like snow on sunki currency reserves of ukraine how much there is 9 billion in three months national bank i spent it, therefore, as soon as the ports will be opened quickly, how will export receipts of currency go, then the hands of the national bank will definitely be freed and it will be able to carry out more active interventions in order to stabilize the exchange rate. i do not think that the exchange rate will be extremely high. i think that it will be somewhere moving in ukraine 30-35 hryvnias is what we have now at least in the near future and after the opening of e-e export receipts e-e we will see how the national

it depends from which point of view you look at it, from the point of view of the national bank, which task of containing inflation at the city level and, in principle , preserving financial stability in general, this is such an undesirable step and a very forced step from the point of view from the point of view of the ministry of finance, which is responsible for the fact that budget payments were made on time and without delays, and the cost of borrowing was low, this is a justified and justifiable step. i believe , frankly, that such things can be resorted to in exceptional exceptional situations until the 22nd year begins on the 16th of the year, the national bank did not recoup any ovdp, they only repaid it in this way, it did not let the hryvnia into circulation, but in the exceptional circumstances that exist now, this can be done because it costs foreign and you he foreign partners come to ukraine unevenly, and the ministry of finance has to finance expenses every day. well, i'll just remind you that when i talk about hyperinflation, i'm talking about such and such rates of pr

this is bloomberg. >> it is been a massive week for central banks. national australia bank tells us if he expects any kuroda surprise. markets are inching towards a self-fulfilling prophecy of possible recession. the conversation is ahead. this is bloomberg. all i know now and your ex if they are serious about inflation, they will have to crack the u.s. economy hard. then, the recovery before you see a bottom. so, that's a long process. in the end, that we think that the fed will blink and choose to sustain asset prices lower than today. >> the one thing that the people are not prepared for is interest rates resetting meaningfully higher. we have gotten so used to feasting on ultralow interest rates. i do not think that people realize, you know, where equities will trade in a resetting market where risk-free rates are 4% or 5%. >> concerns about a potential recession have really pulled the u.s. market down in this session. the s&p 500 losing more than 3%. futures were abounding in the asian session. it is still early in today, but we will see if we can mainta

it is central banks that are setting the agenda to day in a surprise move, the swiss national bank, raised its policy interest rate for the 1st time and 15 years putting heavy pressure on european financial markets. that after a surprise meeting of the european central bank yesterday, and of course the feds announcement to drastically hike interest rates, the 3 quarters of a percentage point increase is the feds largest since 1994 economists and investors had been anticipating an aggressive response. after the latest data showed years, consumer prices grew at their highest pace in 40 years and may here is fed chief durham, paul. we at the fed understand the hardship that high inflation is causing. we're strongly committed to bringing inflation back down and we're moving expeditiously to do so for more or less bring in michael use in chief market analysis at c m. c markets. michael, let's talk about the fed here in a 2nd. but 1st things must be looking rather grim when the swiss national bank feels the urge to act and raise it's policy interest rates for the 1st time in 15 years. yeah, i th

measures, and they were made by the national bank, made by the government, the parliament, which had characteristic absolutely such a normal state, were necessary in order to, in this crisis situation, to remove the problems that immediately arose, yes, in particular, with regard to imports. it was a problem of the customs, in fact, if you remember, stand up humanitarian volunteer who went from border, help abroad due to the fact that the customs was not lazy, it was possible to cope with the processing of such a flow, and in fact we temporarily canceled the customs, and this solved the problem at that time, allowed it to go optimally necessary goods that were critically needed at that moment to keep the front simple and you are a plus - it additionally lowered import prices, allowed critical imports to be imported without interruption , rhythmically, continuously. introduced into the system according to which reserves finance only critical imports at a fixed rate. and all exporters are forced to sell at this fixed rate, that is, also a system that is allowed to stabilize at that mom

arithmetic everyone will be affected by the discount rate - it is the main tool with which the national bank tries to contain inflation, the higher the rate , the more profitable the deposits, according to logic, now people should not take money from the bank, but put it there , the nbu explains that this will give ukrainians the opportunity to protect their hryvnias from income and hryvnia savings from inflationary depreciation . as a result of the increase in the discount rate, this is a certain signal both for banks to raise deposit rates and for the ministry of finance increase the suitability for government securities , the more attractive the games, deposits and government bonds will be, the less interesting the dollar is expected in the nbu, they explain to ukrainians, then they will no longer have to actively copy foreign currency in order to minimize the risk of eating up the inflation of their funds. but there is one thing, but this mechanism works well in peacetime this time. will it be effective during the war? assumes that such actions are necessary, well, what actions should be

they did not promote inflation because it is obvious that the national bank is now printing a lot ofias in order to cover the budget deficit and it is not fully covered by income. here's yours. what's your opinion about this year ? well, let's just say that i have a very old relationship , considering that i've been in the banking system with it for more than 30 years. on the one hand, i know many people. for many years, i have been concerned with what the central bank is doing since the time of yushchenko , i had public battles with him on this matter . it is necessary to support the development of industry in ukraine, the production of a-a is definitely not only the national beam is responsible for whether production in ukraine develops or not, but the fact that he, by his actions for many years, is to the point that the production enterprise and what they are more difficult, the more they became hmm, let's say we created attractive conditions for them, unfortunately, there are problems, and what is the problem, what is the problem? is for you task of manufacturing enterprises and

sergey we see that the national bank has commented on the lifting of the restriction on the exchange or banks, e.e. they say in the press service of the national bank that this made it possible to stabilize the situation on the foreign exchange market and contributed to the strengthening of the hryvnia exchange rate. in fact, the situation with the exchange rate and with the hryvnia, has it really strengthened and what to expect, well, actually , let's see what was in the exchangers three weeks ago, before the introduction of these er measures, which the national bank is now talking about, the hryvnia in the exchangers was 38-39 and a lot people ran around the tv screens and said you are hiding, it will soon be 40 e after the introduction of these measures, including after the introduction of these institutions. now we see hryvnia 35 35-36 in exchangers, so it worked like this, uh, this speculation that drove the hryvnia where 38-39 was based on an empty place and that's why then i left unfortunately yes, mr. sergey, what is my question? it's more global, uh, unofficially they say tha

we covered partly through donor support and partly due to the printing of money by the national bankfact that we drive all the resources inside the country into the bonds of the ministry of finance, which are kept relatively cheap, well , the interest rate on them is relatively low accordingly, a situation arises when we have not yet fully reconciled our budget at the expense of our partners, but actually for the time of war, that is, for the next month, and we have to reconcile it completely at the expense of our partners, that is, roughly speaking, we have paid the taxes, we have paid the expenses, the higher difference should essentially cover the aid partners, then it is a more or less stable system that will work stably during the war. and we can be calm about the budget, because printing money is always the way to nowhere, it can be used 1 2 3 times, but the most important thing is that the unblocking of ukrainian ports can somewhat reduce the drop in gdp to 22-25% from the projected 30. how critical will the lack of a blockade affect the economy? it is becoming more and more g

well, the national bank is talking about the problem with the so-called currency tourism when you canbroad at the unofficial, but significantly higher card exchange rate , bring it to ukraine and sell it here at semi-legal or legal exchangers at a slightly higher price. well, they are fighting this by establishing the maximum amount that can be withdrawn in a month is now 50,000 hryvnias, at the beginning of the war it was 100,000 hryvnias per day, not per month, but i think that there is still some leeway here in order to tighten the nuts more and reduce them further sums, this will be a little inconvenient for ukrainians living abroad, but in principle, this problem will be more effectively dealt with, mr. mykhailo. in your opinion, it should be done as soon as possible in order to properly stabilize our economy. because when i sometimes hear there i do not know is there some kind of statement from gradofilskyi or vice versa in ratriumfalnyi? well, somehow i can’t believe that, but you are a very professional expert. i can see what things the government is not doing, and it is not t

well, uh, i just want to remind that at the beginning of the war, the national bank of ukraine has alreadyinted uah 190 billion. well, how does it look? the ministry of finance auctions war bonds and the national bank buys them under normal conditions. similar things happen, but we understand that this is unsecured money that is thrown into the economy of ukraine, they are understood prices that have already increased this is a consequence of these processes from the consequences this is one of the consequences of the emission that we are talking about now, that is, more more bonds will be printed, these will be thrown away , the prices will still rise, well, the less we will be able to attract funds from our partners, the less the international monetary fund will help us, the world bank, the less people and banking institutions and natural persons and legal entities will buy war bonds with their own money, especially since the national bank of ukraine will cover this difference between actual needs and tax receipts. that is why it is so important today to return at least part of the taxes

that is, this is the part that will not have to be returned, and the bulk is loans from the national bank war bonds. in this way, directly financing the state budget deficit at the expense of the fish mission, well, in other words, the printing press was turned on. so all this actually speaks about the general state of the ukrainian economy and, er, the general state of filling the state budget, we are currently without with the help of our partners, it is normal from an economic point of view, we cannot provide for the war. i have already reminded that we received 83 billion as taxes, and 120 billion of those 2,540 actually went to the war were spent from the state budget, so this is roughly the picture of today's real state of the ukrainian economy, and according to the nbu , the fall in ukraine's gdp has slowed down to 35-forty percent. what does this mean for citizens now and in the long term ? to prepare, well , the most important thing is the most important word from what you said fall, that is, really, in the first 100 days , the ukrainian economy fell so fast , what was the gdp th

problem and central banks are raising to combat what is happening with high prices especially with national banksbut with the bank of japan overnight, there are indications there could be new key policy but now you see the move, whether or not we are going to see what's going to happen with the bank of japan, if they get more aggressive, it shows you how clearly inflation is becoming a global problem right now. kriti: so what is the pivot? what gets people to hop in and say we are confident the s&p 500 is going to end positively? jess: one problem is the earnings on the fundamental side. they're still elevated and looking at the year-end target for the s&p 500, 4600, a lot of strategists looking for those to come down but also capitulation and volatility, still around 33 even during the selloff and ahead scratcher to a lot of people, but looking at what was happening during the dot pop-up head of the global financial crisis in 2008 and where it is trading if you are looking at the 20 day moving average is more elevated during those periods. what volatility are saying is you have not seen that --

spend several hours to go to another nearby city and exchange funds, also note that previously the national banksimilar to ugu, ot e-e from poland, the netherlands, belgium and sweden, and also regarding the calculation in general, ukrainians usually use with plastic cards of ukrainian banks, the conversion is automatic and it is very convenient. this shows that international relations are working to ensure that ukrainians who were forced to leave their homes because of the war, er, so that they feel comfortable outside of ukraine. has the movement started now with the return of refugees from italy, and what do they face when returning that ukrainian family, mostly women with children, but recently the wife of an acquaintance of mine came back as well and with what are they facing and is this movement already becoming massive, what proportion of refugees actually remains in italy eh, well, the hotel really has a lot of refugees. for example, the small town where i am now is still at the beginning of this process. there are a few thousand ukrainians now, so people are returning. well , firstly, t

printed 70 billion in total at the beginning of the war, the national bank printed 190 billion,t cannot be called directly, friend. we would be with you because we lack external support. well, in principle, we cannot establish a budget and this will affect the hryvnia exchange rate. why did this happen? i explained again. we spend 250 billion a month, the last time we earn 80 billion did they receive billions of foreign aid? the difference is 140 billion. it is being broken through now due to the typical issue of the hidden family. why did this happen? you had a brilliant time when i joined . a long time ago, including the one that arose in the parliament. if we continue to gather to vote for some kind of populism games, friends, we will not be able to stand the financial and other things, then we will vote for some kind of stupidity for the dismissed mobile phones. we are surprised that we do not have enough money and we are not given international partners. i believe that we need to screw up populism crackling during the war, this does not mean raising taxes, we have taxes rig

prices all over the country , we take not only a reduction plus or minus 15 percent, although the national bank in its in the last report stated that reductions in ukraine reach up to 50%. and in addition to all this, in addition to the negative salary, we still have the devaluation of the hryvnia , because the dollar, well, again, for sure, the figure changes every day, and my calculations were at the exchange rate of 35.6, that is, the standard of living is not at all the same as it was. they claim that jobs have decreased in almost all areas, and what is called optimization, actually, as you said, it is about 10-15%, and that in reality, it is not so little, and it is necessary to understand that in fact this is such a small spoiler , the labor market is stabilizing little by little, but also, according to experts, it is still far from the pre-war rails and it is hardly worth hoping for it in the near future, and there are already positive developments, which is also not so bad, i think that what can be said about positive violations right now is not the right time, because there stabilizati

is when the swiss national bank announced an asset hike of its own. pursuit trying to get control of inflation the bank of japan with a big decision coming up as well that has put the s&p 500 futures right around the lows for the week, 3700ish is where things did bottom out a couple days ago. take a look at the two-year treasury yield, this is what sectiois expected over the next couple years. it judgmemped on news that the was going to raise rates and then we've got lift again. the fact that yields are going up take a look at the german ten-year yield this is dramatic, a decade-long chart. less than a year ago, let's say ten months ago, were you at negative .5% that's not a big number in absolute terms but look at the velocity that mirrors what's going on in developed market moves you have another gut check in stocks to see how much we've priced in. and the stubbornness of inflation on the year side >> we are in mid swoon in this most recent downturn, which i guess could you say started thursday but it had bounced a little from the lows, mike, and th

since the beginning of the summer, the national bank has taken an unprecedented step, raising the discountrst time in the last 7 years, in practice, this means that the hryvnia is becoming more attractive, well, the national bank is actually trying to normalize this situation, that is, roughly speaking, they made money expensive in essence, hryvnia instruments make them attractive and allow you to attract money there for ukrainians, this is also additional insurance against inflation , especially for those who have and want to keep their savings, as a result of the increase in the discount rate, banks will raise deposit rates, this is a response to these infectious risks that exist for so that deposits and savings do not lose their real value, but they are still a reliable asset, deposit rates will increase gradually and this process has already begun, so in this financiers say that it is the most profitable option to keep the money saved for black day in the bank. this is how you can, if you do not multiply the money significantly, at least definitely not lose it, this year it is expected

ministry of finance, that's all after all, in response to the increase in interest rates by the national bank the rates will also be raised for ovdp, that is why it is quite inactive now that banks and even individuals are investing in military ovdp, we can see that at the beginning of june, even the volume of population deposits in these ovdps decreased by almost billions of hryvnias, well, the truth is account of foreign exchange reserves therefore, now, in fact, everyone is watching every tuesday whether the ministry of finance will raise rates or not, and so far they have not raised rates, what will it end in? well, i personally would like dolphin to raise rates, because the main thing is to attract funds, and service costs are at this stage - in my opinion, this is secondary, but we will wait. because the situation as it is now is actually very unstable. and when the discount rate is 25, and the rates for hryvnia bpp are, i am, as it was, 9,500, mr. mykhailo, i have a question for you, that is, from my point of view it looks like it's actually not such bad news, i.e. no one is forcing an

the market is waiting for the ministry of finance to raise interest rates in response to the national bank'ske, so it is quite inactive now that banks, even individuals, are investing in military funds, we see that at the beginning of june, we even have deposits the population in these ovdps, they decreased by almost billions of hryvnias, well, the truth is due to foreign currency ovdps. therefore, now, in fact, everyone is watching every tuesday to see if the ministry of finance will raise their pockets. they are not raising rates yet, what will this end up with ? personally, i would like dolphin to raise the rates, because the main thing is to attract funds, and service costs are here. at this stage - in my opinion, this is secondary, but we will wait. because the situation as it is now is actually very unstable. and when the discount rate is 25, and the rates are for hryvnias gdp is 9,500, mr. mykhailo, i have a question for you, that is , from my point of view, it looks like it is actually not such bad news, that is, no one is forcing anyone to buy these debt securities, at least now, th

itself, not by the national bank, which were already made by the government, the parliament, in with the government, in march, they were really more chaotic, what related to tax policy, but on the other hand, then gradually the government started a-a m- m better understand those where it is first of all needed and actually began to actively work on solving logistical problems agreed on agreements with international partners in order to export, in particular, ukrainian products under the conditions of closed ports now in fact, the main such strategic work is carried out within the framework of the recovery council, where there are economic groups coordinated by the ministry of economy. they work quite openly. my colleagues and i work in these groups . in fact, in such a crisis year, the next two or three years, and then for such a more strategic period, this thinking is there, but on the other hand, well, that is, as always in ukraine, there is the very desire to find some quick and simple solutions, and it seems to me they are not always a-a more ineffective, one example actuall

the swiss national bank surprised. there is a lot of pressure on the bank of japan. it will be difficult for the european central bank to not respond with aggressive rate hikes after the swiss move and that just leaves the bank of japan. that makes the press conference the most interesting point today, not so much the statement itself but what governor kuroda has to say when he meets the press later today. if there is a chance for him to prepare the world, it will be in that hour he spends with the press. >> in california mark was talking about the central-bank preempting the ecb move. we have the doe moving as well -- boe moving as well but only 25 basis point in a world where people are talking jumbo hikes. >> well, they have a bit of a conundrum. they did vote to raise their key rate by 25 basis points. 6-3 was the vote, but three dissented because they were in favor of a 50 basis point hike that they did not get. the boe was the first central bank to start raising rates out of the pandemic. now they have slowed down a bit. let's look at japan. some people are try

the national bank predicts that by the end of the year it will be a success if it does not exceed 20% optimistic indicator, and if we get inflation of 25-30%, it will be somewhere at the level we expect, and this is a lot. the last time such figures were in the 15th year, the hryvnia exchange rate, the policy of a fixed exchange rate will continue for the next few months . this is what happened on the black market the result of speculation we all have emotional swings that continue. for the third month already, the same thing affects the currency market in inflation, the parents alone are the war and the loss of jobs and , therefore, incomes by ukrainians, to this is added the reduction of industrial capacity and logistics and the transfer of the economy's burden to imports, which is not contributes to the strengthening of the hryvnia, but how was it reflected on the walls ? they are carried on the route away from large stores, so in order not to leave the last ones in the supermarket, we will buy them at the market here, it is much cheaper, we will not buy tomatoes instead, we will t

assets of such a company, the same story with alpha bant, for example, from the very beginning the national bankursued a completely rational policy of not withdrawing alpha bank from the market, because it harmed not the owners of alpha bank, but rather all-ukrainian depositors and the ukrainian financial system, so why shoot themselves in the foot, the national bank decided and decided absolutely logically it is always necessary to take into account, and for this very reason, i understand that the competitor kyivstar and vodafone, which also seems to have russian roots, too, does not suffer in any way, look , vodafone once had some russian roots now this company belongs to the azerbaijanis and therefore there are no questions for them at all, the question is removed, on the contrary , we need some preferences azerbaijan is a friend of ours and will support ukraine in all its endeavors. good, but if it is so abstract to speak, british intelligence writes that 15,000 millionaires will leave russia by the end of the year and they will go somewhere. well, maybe a couple of millionaires will come to

to at least the return of vat, there was a consensus in the authorities, both in infin and the national bank returned in order not to distort competition on the market, which in principle exists even despite the war, well, in principle, it does not look like a strange situation when ukraine is asking for a lot of funds abroad, at the same time it allows imports to enter the country without paying vat, but the full return did not happen somewhere, the deputies corrected, in particular , they gave the opportunity to the cabinet of ministers to introduce duty in a mirror in relation to our partners, i.e. if the eu imposed on the products of ukrainian export e-e we canceled it for a year, then, in principle , cabs can do this now, and in addition, e-e, what has changed, the benefits remain for e-e electric cars for all the rest of the cars, they were canceled. i would like to add that they also left a loophole, or on the contrary, they created it. these are benefits for industrial parks, and earlier economists criticized such an idea as some kind of special customs zones for industrial parks, si

historic as the swiss national bank acts, the bank of england, many surprises. this is bloomberg. ♪ >> features and down -- futures are down. the open starts now. >> everything you need to get started for the start of u.s. trading. this is bloomberg deal been with jonathan ferro.

this morning the swiss national bank raised rates and the bank of england as well.e markets which signals the government how bad they're screwing up everything. [laughter] you know, it's one of those things where we printed way too much money for too long, there's a huge problem with inflation. it's pretty obvious we're not going to be able to raise rates enough to fight the inflation because unlike the 1970s, we have this massive debt. and, you know, technology companies are much more real this time than they were 20 years ago, but they were massively overvalue with speculation. i think it's healthy to come down. i'm really wondering if we have enough levers to fight inflation, and i think it's a very scary next two years. maria: i mean, look, you are a student of growth. your entire career you have been able to identify where growth and innovation is. i know 8vc uses cutting technology technology to manufacture vaccines quickly -- >> yeah, maria, we started, we started resilience and other companies like that to bring manufacturing back to the u.s. so that's a com

it has moved significantly on the back of this decision by the swiss national bank, the importance ofconversation francine will be having with thomas jordan later today. some prices from central banks just keep jumping. -- coming. losses of one point 2% across the european benchmark. there is money moving out of treasuries stateside. in terms of the parents is the last few days, a five to nine basis point move across the yield curve, but in peripheries relative called on the back of the surprise meeting from the ecb. the dax is down almost 200 points, and the ftse 100 down 1.2%. the gdp and the pound under pressure ahead of the decision by the boe at midday u.k. time. let's see how things are looking across sectors as investors readjust to a federal reserve that has reiterated its commitment to getting back to the 2% target of inflation, 75 basis points yesterday, the biggest hike since 1994. jay powell did leave the door open to 50 or 75 basis at the next meeting. i moved to havens -- a move to havens. initial gains around energy, gas prices has spiked on the decision by gazprom to g