Ukraine Slashes Currency Value by 25%

• Ukraine’s central bank devalued the country’s currency by 25% on Thursday.
• The bank cited the US dollar’s strength and the impact of Russia’s invasion on Ukraine’s economy.
• The hyrvnia is now worth around 3 US cents after the devaluation.

Ukraine’s central bank said on Thursday it had slashed the value of its hryvnia currency by a quarter in response to the strength of the US dollar and the impact of Russia’s invasion on Ukraine’s economy.

Ukraine, which had essentially fixed its currency against the dollar since the start of the war at a rate of 29.25 hyrvnia, had seen its purchasing power and the value of its exports eroded by the strength of the greenback, which is near 20-year highs against a basket of major currencies.

The central bank said it had fixed the…