DEPOSIT DOLLARIZATION IN UKRAINE IN 2006-2022
Abstract
доларизаціяThe article is dedicated to the empirical analysis of deposit dollarization trends in Ukraine in 2006-2022. One of the ways to determine the level of unofficial dollarization of the economy, especially financial dollarization, is to estimate the dollarization of deposits in a certain country. For a comprehensive analysis of deposit dollarization, it is necessary to calculate not only its general indicators, but also to analyze the ratio of deposits of various economic agents, for example, residents and non-residents, households and the corporate sector, financial companies, etc. Such an analysis is especially relevant for Ukraine in the time of the Russian aggressive war. In most cases the deposit dollarization is estimated through the ratio of deposits of the residents to all deposits in the country, as well to M3 («broad money» aggregate). These indicators give just a general idea of the level of unofficial dollarization and its trends over a certain period of time. For a more detailed coverage of this problem in Ukraine, the article proposes an estimation of the deposit dollarization of residents and non-residents in 2006-2022, based on the official statistical data of the National bank of Ukraine. The indicators of deposit dollarization of other financial, non-financial and depository corporations in Ukraine were also calculated. The analysis of the trends of dollarization of deposits of the residents and the households in Ukraine and comparison of indicators of dollarization of deposits of the households and the corporate sector were also proposed in the article. This analysis of the dollarization of deposits in Ukraine in terms of economic entities allowed to make conclusions that the deposit dollarization in Ukraine is traditionally very high and always increases significantly during currency and financial crises. Before the war the dollarization of deposits in Ukraine decreased constantly, but now the war has a significant negative impact on all indicators of deposit dollarization, so further research of this problem and the ways to solve it is very necessary.
References
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Available at: https://bank.gov.ua.
