The value of the Hryvnia, has hardly been affected by the Russian invasion of Ukraine on 21 february. https://www.google.com/search?channel=fs&client=ubuntu&q=hryvnia+to+euro
I can think of several reasons why Ukrainian currency would have taken a severe blow:
- 2.8 million refugees (on a population of around 41 Million), many of whom will change Hryvnias for foreign currency
- the risk that a Russian-imposed government may impose restrictions on the exchange of currency, or doesn't have take appropriate measures to ensure the value of the national currency, or even
- the risk that a new government introduces a new currency and declares the previous currency invalid
Apparently, traders don't perceive these as serious risks.
What is keeping the exchange rate of Ukrainian currency stable, despite the risks mentioned above?
Or am I over-estimating the risks?