What is 'UAH (Ukraine Hryvnia)'

UAH is the currency abbreviation for the Ukraine hryvnia, the currency for Ukraine. The hryvnia comprises 100 kopiyky, the plural of kopiyka, and is often presented with a symbol based on the cursive Ukrainian letter He, which looks like a backwards S, with a double horizontal stroke through the middle. The double strokes are seen on other currencies such as the euro and the yen because they symbolize stability. The currency is named for a unit of weight used in the Slavic region during medieval times.

BREAKING DOWN 'UAH (Ukraine Hryvnia)'

After the collapse of the Soviet Union, the UAH became the national currency of Ukraine when it replaced the karbovanets because of the hyperinflation that occurred in the 1990s as a result of the collapse of the Soviet Union. Initially, the currency was introduced at an exchange rate with the U.S. dollar of 1.76 Ukrainian hryvnia to one U.S. dollar. As of 2018, the currency has been devalued, with a rate of more than 26 UAH to one U.S. dollar.

Recent developments with the UAH (Ukraine Hryvnia)

As of April 2018, the hryvnia had strengthened against the U.S. dollar by 6.5 percent since the start of the year, according to the Ukrainian Independent Information Agency of News, or UNIAN. But while S&P improved Ukraine's GDP forecast for 2018, it lowered its expectations for the next two years, according to an April 2018 report, waiting in expectation for the hryvnia to strengthen in 2020 and beyond.

The report noted that the chance for economic recovery "continues to be driven by strengthening domestic demand, high commodity prices, and the economy's ability to quickly adapt to the Donbas trade blockade." It added that the "growth drivers in the Ukrainian economy will remain broadly unchanged, with domestic demand as the main contributor. Notwithstanding macroeconomic improvements, Ukrainian per capita wealth levels remain low."

An article published in May 2018 argued that the West, including the International Monetary Fund, needed to do more to support Ukraine's political system and economy, offering support and engagement to reform-minded politicians seeking to root out corrupt leaders.

"Wealthy businessmen dominate the parliament, but even so the parliament promulgates surprisingly reformist laws," UNIAN quoted Anders Aslund, senior fellow at the Atlantic Council. "Ukraine has not stopped. It is fighting its internal battle over reform or corruption."

He added that, "unless the country receives IMF financing, it can hardly get through 2018 without a major depreciation of the Ukrainian hryvnia, which would be devastating in the 2019 elections. Politically, Ukraine needs Western support against Russian military aggression. This is well understood in Kyiv."

  1. JPY (Japanese Yen)

    The currency abbreviation or the currency symbol for the Japanese ...
  2. International Currency Exchange ...

    An international currency exchange rate is the rate at which ...
  3. Currency ETF

    Currency ETFs (exchange-traded funds) aim to replicate movements ...
  4. USD

    The USD is the abbreviation for the U.S. dollar.
  5. NZD

    In the currency market, this is the abbreviation for the New ...
  6. Reciprocal Currency

    In the foreign exchange market, a currency pair that involves ...
Related Articles
  1. Insights

    Will Ukraine Ever Join The EU?

    Ukrainian President Petro Poroshenko has made it clear that his country is committed to joining the EU.
  2. Insights

    Looking to Invest In Ukraine? Here is How

    We examine a number of ways to invest in Ukraine, including ETFs, managed funds, corporate investments, and Eurobonds.
  3. Insights

    Could Ukraine's Debt Crisis Destabilize The EU?

    A financial crisis in Ukraine could be a bigger threat to European security than the current financial crisis in Greece.
  4. Investing

    Countries Near Economic Collapse

    These four countries are nearing economic collapse.
  5. Investing

    Gas Dispute Poses Risks For Both The EU And Russia

    The Russia-Ukraine gas dispute has caused energy insecurity for the EU, which is seeking new gas suppliers, and market uncertainty for Russia's Gazprom.
  6. Trading

    10 Countries With The Biggest Forex Reserves

    Without adequate reserves, a nation's economy can grind to a halt. Here are the 10 nations with the biggest forex reserves.
  7. Trading

    Why the Russian Ruble Is One of the Best Performing Currencies of 2016

    The ruble should continue to see support under current conditions, and could easily close the year off with a gold medal for performance against the U.S. dollar.
  8. Investing

    Sanctioned Russia Issues Second Eurobond (RSX, EEM)

    The deal is important because it raises funds for spending commitments and demonstrates access to capital despite U.S. and EU economic sanctions imposed on other parts of the Russian economy ...
  9. Insights

    3 Economic Challenges Russia Faces in 2016

    Learn about the three largest challenges facing the Russian economy in 2016. How will low oil prices and high inflation impact the Russian economy?
  10. Insights

    Why the USSR Collapsed Economically

    While initially experiencing rapid economic growth, the Soviet command economy collapsed after it grew more complex.
  1. What are the nations with the lowest PPP (purchasing power parity) with respect to ...

    Learn how purchasing power parity (PPP) is used to compare the price of goods between countries, and which countries have ... Read Answer >>
  2. Why is the U.S. dollar shown on the top of some currency pairs and on the bottom ...

    All currencies are traded in pairs. The first currency in the pair is called the base currency while the second is called ... Read Answer >>
  3. How did the Soviet economic system affect consumer goods?

    Discover how the now-defunct Soviet economic system affected domestic consumer goods markets. Communist ideology dictated ... Read Answer >>
  4. What are key economic factors that can cause currency depreciation in a country?

    Read about the causes of currency devaluation, and find out how to differentiate between relative and absolute currency devaluation. Read Answer >>
  5. How are international exchange rates set?

    Knowing the value of your home currency in relation to different foreign currencies helps investors to analyze investments ... Read Answer >>
Hot Definitions
  1. Inflation

    Inflation is the rate at which prices for goods and services is rising and the worth of currency is dropping.
  2. Discount Rate

    Discount rate is the interest rate charged to commercial banks and other depository institutions for loans received from ...
  3. Economies of Scale

    Economies of scale refer to reduced costs per unit that arise from increased total output of a product. For example, a larger ...
  4. Quick Ratio

    The quick ratio measures a company’s ability to meet its short-term obligations with its most liquid assets.
  5. Leverage

    Leverage results from using borrowed capital as a source of funding when investing to expand the firm's asset base and generate ...
  6. Financial Risk

    Financial risk is the possibility that shareholders will lose money when investing in a company if its cash flow fails to ...
Trading Center