Ukraine Pledges To Protect Deposits

The interim government of Ukraine is discussing measures to stop cash withdrawals after as much as seven percent of deposits were taken during last week’s uprising.

Rally Aftermath

National Bank of Ukraine BuildingWithdrawals reached as high as 30 billion hryvnias ($3.1 billion) while demonstrators and police fought in the city of Kiev. The temporary administration is trying to secure $35 billion in financial aid to avoid a possible default. Acting President Oleksandr Turchynov said that the significant bailout plan that the country is currently seeking won’t be handed by international donors to a weak government. He stressed the need to form a strong parliament as soon as possible.

Currency Fall

The hryvnia fell by 6.4 percent to 9.800 per dollar, extending the country’s economical slump to 16 percent in the past two months. The yield of the government’s dollar bonds, which mature in April 2023, rose by 30 base points after falling 211 base points in the last three days.