Apparently the hryvnia reversed it's sharp decline at least temporarily. Here's Bloomberg News from this morning:
"Dec. 19 (Bloomberg) -- Ukraine’s hryvnia jumped 10 percent
against the dollar, the most in seven weeks, after the central
bank increased its key interest rate for the second time in two
days.
The currency climbed to 8.2500 per dollar by 12:55 p.m. in
Kiev, from 9.1000 yesterday. The central bank raised the
refinancing rate to 22 percent from 18 percent, after increasing
it one percentage point yesterday."
Wow, 22% overnight rate. That compares to, umm..... zero percent in the US. I mean, I'm not saying that I think ZIRP is the greatest things since sliced break and I'm not saying that Urkaine has many other options to stem the decline in the currency and thus remain solvent but... a 22% overnight rate... cuz that's not going to stifle the econnomy at all....
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