Recent polls show that a majority of the Ukrainian public believe that the current exchange rate of the grivna is either significantly (16% of the respondents) or slightly (17%) undervalued against the dollar and the euro.
Ukrainians' views of future grivna prospects are, on the whole, optimistic. Specifically, 31% of respondents believe that its rate against the USD/EUR currency pair will increase, and 30% expect the grivna to remain within the current range of currency fluctuations. Only 12% of Ukrainian citizens expect a fall in the exchange rate of the grivna.
According to James Rickards, editor of the Strategic Intelligence newsletter, major currencies do not go to zero but they move back and forth against each other like two kids on a seesaw moving up and down and not going anywhere in relation to the seesaw. The USD/EUR cross-rate is a good example. In the past 20 years, the value of the euro has been as low as $0.80 and as high as $1.60.
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