Dynamics of cash outside banks

Dynamics of cash outside banks is an unpredictable factor, since it is difficult to predict and anticipate the intentions of the population spending, although the influence of this factor has a definite seasonal display. Thus, the greatest amount of cash people spend weekends and holidays, at Christmas and Easter holidays, during the holidays. Dynamics of cash outside banks analyzed in close connection with cash on hand, because the first largely offset by cash receipts to banks. For example, prior to weekends and holidays the banks of the banks give out more cash than on weekdays. Accordingly, after the holidays and weekends to banks returning large amounts of cash, thereby increasing the liquidity of the banking system. Relative measure of "money out of banks", note that Ukraine has a tendency to rapid growth and its associated value, as already mentioned, with the active spending of government funds at year-end, located on the Treasury Single Account at National Bank and their conversion into cash outside banks . Special attention is required confidence in the banking system as a factor of change in the volume of cash outside banks and banking system liquidity. In October 2008, an artificially engineered by strengthening confidence in the financial condition of individual banks, as well as devaluation expectations have a negative impact on citizens' confidence in the domestic banking system. Was withdrawn due to 2.7% of deposits in the amount of 9.21 billion UAH. The level of liquidity of banks fell from 11.28 bln. 01.10.2008 up to 2.17 bln. 01.11.2008 The volume of money outside banks during this period increased by 12.69 million USD, or 9.5%. Category: Liquidity of the banking system of Ukraine