The National Bank of Ukraine has decided to conduct a transaction on 9 March 2026 to exchange banks’ non-cash foreign currency for cash foreign currency in order to replenish the cash holdings of banking institutions.
This precautionary step will help ensure that banks maintain sufficient cash foreign-currency liquidity to meet the needs of Ukrainians, should the need arise.
At present, the situation with cash foreign currency in the FX market remains stable. Banks hold adequate stocks of foreign cash, and the average daily balances in bank vaults are in line with last year’s levels.
However, the unlawful seizure of Oschadbank cash-in-transit vehicles in Hungary may create temporary logistical difficulties with transporting foreign cash from abroad.
In response, the NBU stands ready, if needed, to exchange banks’ non-cash foreign currency for cash foreign currency to support banks’ cash holdings.
The frequency and size of such transactions will depend on the banking system’s demand for cash foreign-currency liquidity.
Overall, the foreign exchange market remains stable. Under the managed flexibility regime, the exchange rate moves in both directions, responding to changes in the balance between demand for and supply of foreign currency.
This week, market quotations and expectations have been influenced by both external and domestic temporary factors. First, the intensification of hostilities in the Middle East has increased volatility in global commodity and financial markets. Second, net demand for foreign currency traditionally rises at the beginning of the week and the month. This reflects banks purchasing foreign currency to cover card and cash transactions after weekends, as well as the renewal of limits on households’ online foreign-currency purchases and businesses’ dividend transfers.
As these factors gradually subside, the market balance improves and exchange-rate dynamics adjust accordingly.
The NBU is closely monitoring developments and will smooth excessive exchange rate fluctuations. Ukraine’s international reserves remain sufficient to support the stability of the foreign exchange market.
These exchanges of cash and non-cash foreign currency between the NBU and Ukrainian banks do not affect the level of Ukraine’s international reserves.
Transactions to replenish banks’ cash holdings with foreign currency are carried out in accordance with the procedure approved by NBU Board Resolution No. 46 On the National Bank of Ukraine’s Transactions to Replenish Banks’ Cash Holdings with Foreign Currency Cash and the Repeal of Certain Regulations dated 5 April 2025.
A bank designated by the NBU as systemically important may participate in these transactions. If other banks require foreign cash to replenish their holdings, the NBU advises them to apply to systemically important banks.
If other banks require foreign cash to replenish their holdings, the NBU advises them to apply to systemically important banks.
These transactions will be conducted through the Refinitiv trading and information systems, which banks also use for transactions on the interbank FX market. The maximum amount of the transaction scheduled for 9 March will be: up to USD 100 million, with a minimum bid amount of USD 1 million per bank; up to EUR 80 million, with a minimum bid amount of EUR 1 million per bank.
If the announced amount is sufficient to cover all submitted bids, the NBU will satisfy banks’ bids in full. If total demand exceeds the announced amount, allocations will be made on a pro rata basis, according to the amounts specified in banks’ bids.