Ukraine is planning to switch from the dollar to the euro

The head of the National Bank of Ukraine, Andrey Pishny, informed Reuters that the country is considering the possibility of switching from the US dollar to the euro. This decision is related to the prospect of joining the European Union, strengthening cooperation with Europe in the defense sector, instability in global markets, and the potential fragmentation of international trade.

Pishny emphasized that this process is complex and requires high-quality and comprehensive preparation. Currently, the US dollar dominates all segments of the Ukrainian currency market, but he added that the share of operations conducted in euros is growing in many areas.

Ukraine introduced the hryvnia in 1996 and has since accepted the dollar as its main currency. After the Russian invasion in 2022, the National Bank set the exchange rate against the dollar, later transitioning to a managed rate in October 2023.

Closer ties with the European Union and economic recovery are expected to ensure the growth of the Ukrainian economy to 3.7–3.9% in 2025–2026. However, this process will depend on the conclusion of the war and security guarantees.

Moldova's adoption of the euro as its main currency on January 2, 2025, has been an inspiration for Ukraine. Ukraine may choose a similar path.