The prices are not reduced simultaneously with the growth of the hryvnia for a number of reasons, among which are inertness, low competition and increased demand.
The National Bank of Ukraine explained why the Ukrainians do not feel the lower prices, despite the strengthening of the hryvnia. On Tuesday, October 1, the press service of the NBU, reports the online edition of the Chronicle.info with reference to the Correspondent.
“This has many explanations. Partly inertia in setting prices. Partly the low competition in certain markets, which allows businesses to keep their prices high even in terms of cost reduction,” — said in the message.
Also on this paradox is affected by other factors that affect the cost of production and increase in wages. It is known that the affects the increase in demand due to the growth of incomes of population of Ukraine.
The hryvnia began to fall
We will remind, the hryvnia strengthened over a long period, but the last two days began to take positions.