Dec 1, 2008

Buddy Could You Spare Some гривні?


Here are a few phrases you do not want to see used to describe your national currency:

"Collapse"
"Off a cliff"
"All-time low"

Even better, you never want to see the same phrases used together.

But when the Ukranian hryvnya hit an all-time low against the dollar last week (HRN7.38:US$1), The Economist just couldn't help itself. Sorry Ukraine.

2 comments:

L. Julius Maximus said...

Sad... World Financial Crisis sows the seeds, but who is going to reap the harvest?

Leopolis said...

Like the pound and the złoty, the hryvnia went into the crisis a bit overvalued .... while inflation ran wild thanks to Yulka. If anything, the hryvnia freefall reflects a correction to inflation.

The article suggests that Yulka (if she is still in government) will restrict ATM withdrawals. This is one extreme of such a situation: http://news.bbc.co.uk/2/hi/africa/7759060.stm