Business news from Ukraine


1 June , 2022  

The surplus of Ukraine’s consolidated balance amounted to $783 million in April 2022, while in April 2021 the surplus amounted to $795 million, the National Bank of Ukraine (NBU) reported on its website.
According to its data, the current account surplus in April 2022 amounted to $1.1 billion, which is 23.4 times more than the surplus in April 2021 ($47 million).
The NBU also reported that exports and imports of goods for the month decreased by 51% and 45.7%, respectively.
The main factor behind the decline in exports to $2.4 billion was a 52.8% reduction in food exports, due to a decrease in grain exports (by 64.8%). There was also a decrease in exports of ferrous and non-ferrous metals – by 71.3%, chemical industry products – by 45.7%, wood and wood products – by 2.8%, mineral products (including ores) – by 41.9% and engineering products – by 35%.
The volume of imports of goods for the specified period decreased to $2.7 billion, including non-energy imports – by 51.1%. In particular, imports of industrial products fell by 18.2%, engineering products by 68.9%, food products by 41.4%, ferrous and non-ferrous metals by 72.4%, chemical industry products by 61.6%, and wood and wood products by 75.3%.
At the same time, energy imports decreased by 17.2%.
According to the National Bank, in April 2022 there was a $785 million trade in services deficit compared to a $347 million surplus in April 2021. The NBU explained this by the growth of refugees abroad, whose expenses exceeded those of April 2021 by 3.7 times. At the same time, the export of services fell by 41.9%.
The surplus in the balance of primary income in April 2022 amounted to $783 million (in April 2021, the deficit was $491 million). Receipts under remuneration decreased by 6.1%, and payments on income from investments by 81.2%.
Net lending of the outside world (the total balance of the current and capital account) in April this year amounted to $1.1 billion versus $48 million in April of the previous year.
The net outflow from the financial account was $1.9 billion (versus $747 million in April 2021), driven by outflows from private sector operations.
Net inflow from public sector operations amounted to $818 million (in April 2021, an outflow of $1 billion).
The NBU estimated the net inflow of foreign direct investment at $85 million, while in April of the previous year this figure was $626 million.
According to the regulator, the net increase in the external position of the country’s banking system in operations with portfolio and other investments amounted to $454 million. It was due to an increase in the external position in the currency and deposits item by $504 million.
The external position of the real sector (excluding foreign direct investment) in April 2022 increased by $2.5 billion. It was due to an increase in net external debt on trade loans by $1.5 billion, an increase in the volume of cash outside banks by $1 billion (again refugee account).
As of April 1, 2022, the volume of international reserves amounted to $26.9 billion, which provides import financing for 3.9 months.