in assistance. in addition, the nbu's and the government's joint efforts have increased the amount of funds that goes into the state budget from the sale of domestic government debt securities. all of this made it possible to successfully finance the significant deficit of the state budget in januarya€ “ may. given the sustainability of international support and the gradual revival of the economy, ukraine will be able to continue to cover all necessary expenditures without going back to monetary financing. the key risk to inflation dynamics and economic development is the longer duration, and the unpredictable nature and intensity, of the full - scale war. although ukraine is gradually liberating its territories, high uncertainty persists over when the active phase of hostilities will end. targeted attacks have led to the loss of civilian lives and caused environmental disasters. the long - term effects of the destruction of the kakhovka hpp are unprecedented in magnitude. it will take time to fully assess them. the prolongation of hostilities continue to threaten ukraine with significant losses of economic potential and with unpredictable inflationary shocks. other risks also persist. they include : the continued destruction of critical infrastructure facilities, including energy infrastructure the emergence of additional budget needs and substantial quasi - fiscal deficits, including in the energy sector and disruptions or a shutdown of the " grain corridor " and the ongoing limitations imposed on imports of ukrainian food by some european countries. conversely, the rapid implementation of ukraine's recovery project, together with european integration reforms, could considerably accelerate the pace of economic growth and reduce inflation at a faster rate. 2 / 3 bis - central bankers'speeches in order to maintain exchange rate sustainability, with a view to ensuring a decline in inflation and creating the right conditions for an easing in fx restrictions, it is important that hryvnia instruments remain highly attractive. in view of that, the nbu board decided to keep the key policy rate at 25 % per annum. the key policy rate continues to play an important supporting role in ensuring the sustainability of the fx market and protecting international reserves. keeping the key policy rate unchanged, together with other nbu measures, was instrumental in substantially increasing the attractiveness of hryvnia instruments. this has bolstered households'interest in hryvnia deposits and domestic government debt securities in recent months. time hryvnia deposits also returned to growth. coupled with other factors, this helped boost the resilience of the fx market, laying the foundations for a continued easing in fx restrictions

. a large number of financial entities, including those not obligated by law, joined the system and began reporting to it and receiving data from it. we also set out the separation of two credit card companies, while ensuring that the parameters of the separation support the goals of the reform. i am also happy to update that the financial stability committee has already met several times and is making progress with the formulation of its tools and work procedures. we presented to the government an extensive and clear analysis on the need to carry out fiscal adjustments. in parallel, we presented a plan to improve the standard of living and productivity in the economy — with an emphasis on operative policy proposals. we are not blind to the housing issue, and its impact on the young generation. therefore, i asked the research department to begin formulating operative recommendations in the housing area, in order to help the new government identify the order of priorities and to act to remove obstacles that weigh on increasing the supply of homes. in a joint initiative with the imf, we are developing a new macroeconomic model, which takes into account two sectors that to date have not been included in the common models — the housing market and the financial system. recall that these two were among the main factors in the 2008 crisis. the model will serve us in macro assessments but will also contribute to the work of the financial stability committee. in another joint initiative with the imf, we are working on an international conference on cyber risk in the financial and banking system, with the understanding that looking forward, this is one of the main risks to financial stability. given the changes in the global economy, and with eyes to the future, i initiated a strategic process to define the bank ’ s goals for the coming years. the entire management has been enlisted in this process, which is being conducted by the director general of the bank, hezi kalo. it is not straightforward to carry out such a process in the midst of the ongoing work that is always very intensive, but it was clear to me that we must look beyond the immediate issues. therefore, we added a slogan to the process — “ working today, thinking about tomorrow ”. i asked the members of management to think outside the box, and to try to identify the important challenges that the bank of israel and the israeli economy will deal with in the coming years. to that end, we set up several teams, with the participation of tens of staff and managers, in all the relevant areas : the first