KIEV, Feb. 13 – The weakening of the hryvnia could create a favorable basis for development of domestic producers oriented on the domestic market, according to a report by Kiev-based Dragon Capital.

Analyst Andriy Bespiatov states that a jump in the price of imported goods in the light of a fall in real income of the public and the freezing of the banking crediting makes domestic products more attractive to consumers.

Bespiatov said that the hryvnia devaluation considerably exceeded the pace of growth in domestic prices, promoting a rise in the price competitiveness of the Ukrainian economy, which was falling during the past few years due to high inflation.