Ukraine is reviewing the structure of its foreign exchange spending

In January-October 2023, Ukraine spent two-thirds of its foreign exchange reserve on imports of weapons and fuel, according to the National Bank, based on data from the 100 largest buyers. This figure shows a decline compared to the previous year, when the share of the National Security and Defense sector was 31%, and now it is 29%.

It is noted that the fuel and energy complex spends the most currency - 33%, although this is less than last year, when its share was 43%.

In 2023, there will be a double increase in the share of foreign currency purchases by machine-building enterprises, which will amount to 12%. Meanwhile, the share of foreign currency purchases for imports of chemicals and consumer goods increased by only 1 percentage point to 6%, while the share of other industries decreased to 11%.

The NBU notes that the structure of demand for foreign currency remains stable, with purchases for import operations at 89%, an increase in purchases by individuals by 2 percentage points to 6%, and purchases to meet obligations on loans to residents and non-residents remaining at 4% and 1%, respectively.

The average daily volume of non-cash foreign currency purchases now stands at $236 million, an increase year-on-year. Sales amounted to $184 million, including government operations.

The ten-month summary showed an increase in the share of export earnings to 66% and a 2 percentage point increase in the sale of unused foreign currency. The agricultural and mining and metals sectors remain the most active in selling foreign currency.