Ukraine Current Account

Current Account Deficit Widens Sharply in UA December Report UA Current Account Posts Record Deficit of 26.90 Billion UAH The Current Account measures the balance of trade, income, and transfers between UA and the rest of the world, reflecting the country’s net foreign transactions. Fast facts: December’s Current Account deficit hit -26.90 billion UAH, far exceeding the -3.50 billion UAH estimate and the prior month’s -3.20 billion UAH. This sharp deterioration signals a significant outflow of capital and worsening external balance. Analysts at Morgan Stanley note that “the unprecedented deficit highlights growing pressures from weaker exports and rising import costs amid ongoing geopolitical tensions.” The Federal Reserve’s cautious stance on global liquidity may also be limiting UA’s access to foreign capital. This data underscores the urgent need for policy adjustments to stabilize UA’s external finances and support economic resilience going forward.