After the EU agreement on establishing the Fund for the economic recovery of the Euro may strengthen to 1,185$/Euro. And fair value in the long term, consider the level of 1.24$/Euro.
This is stated in the forecast of Credit Agricole, “Ministry of Finance”. Stated that it will directly affect the Ukraine. By early summer, more than 12% of debt was denominated in European currency – UAH 271 billion in the hryvnia equivalent. It is noted that the strengthening of the Euro will increase the expenditures of the state budget to service this debt and Vice versa.
As explained by the head of Department of Analytics Forex Club Andrey Shevchishin, the fact of the uncertainty of the budget situation will exert pressure on the European currency.
“We got a real validity to consider the Euro as an asset of refuge after the agreement reached by EU leaders. Over the next 12 months the Euro will rise to 1.3$/Euro level, which was not within six years”, – said the head of the strategy Department of a Japanese Bank holding company Mizuho Peter Chatwell.
Shevchishin believes that the Euro could fall below of 1.16 $/Euro. The same analyst at freedom Finance Ukraine Stepan juice sees little prospect for a decrease of Euro in case of rejection of amendments to the EU budget.
“Why is the epic of financial documents will not be the end, waiting for Euro exchange rate volatility. On positive news for the currency to strengthen, and is one of the countries state that changes her are not satisfied with how to begin the reverse process”, – noted in the material.
As reported by OBOZREVATEL, the official Euro on Tuesday, 28 July, increased to 32.60 UAH (+38 cents per day).