Ukraine's international reserves rose by 4.4% after several months of decline to $40.5 billion, up from $38.8 billion in December, the National Bank of Ukraine (NBU) announced on Jan. 5.
International reserves peaked at a record high of $41.7 billion in July 2023 but then decreased for four months until December. The increase over the last month was largely due to foreign exchange (FX) inflows from Ukraine's international allies, the NBU said, which outstripped FX sales and debt repayments.
An infusion of funds via the World Bank, EU, and the IMF accounted for the bulk of the money deposited into NBU coffers in December.
At the same time, more than $700 million went to paying or servicing public FX debt.
Overall, Ukraine's financial reserves as of January 2024 are significantly higher than at the same time the previous year, in which the reserves were at $28.5 billion.
The NBU said that international reserves are now able to cover 5.4 months of upcoming imports.