Ukraine raises record-high $1.3bn via local bond placements

By bne IntelliNews July 18, 2019

Ukraine’s finance ministry received record-high receipts of UAH33.3bn ($1.27bn) from placing UAH and US dollar-denominated bonds on July 16.

Kyiv raised UAH7.4bn by placing four types of UAH-denominated bonds with maturities ranging from three months to two years, and $1bn from placing one- and two-year US dollar-denominated bonds.

The highest auction receipts, $632mn, came from the sale of one-year US dollar-denominated bonds to 62 out of 67 bidders. The interest rate for one-year US dollar-denominated bonds went down to 6.5% from 7.0% three weeks ago. The rest of the US dollar auction receipts came from the sale of two-year bonds to 53 out of 59 bidders with a weighed average interest rate of 7% (vs. 7.5% three weeks ago).

Around three quarters of the UAH auction receipts, UAH5.5bn, came from the sale of two-year bonds to 31 out of 36 bidders with a weighted average interest rate of 17.70% (vs. 17.95% two weeks ago).  In addition, the finance ministry satisfied 41 out of 52 bids for one-year bonds for UAH1bn with a weighted average interest rate of 17.68% (vs. 17.99% a week ago).

The rest of the auction receipts came from the sale of three- and seven-month bonds. The government satisfied 14 out of 18 bids for three-month bonds, raising UAH0.5bn with a weighted average interest rate of 16.96%. The other UAH0.5bn came from the sale of seven-month bonds to 18 out of 22 bidders with a weighted average interest rate of 17.21% (vs. 17.47% last week), according to Kyiv-based brokerage Concorde Capital.

Related Articles

Erdogan ‘shuns Uyghurs as China provides support to ease Turkey’s economic crisis’

The reality of Turkey’s crisis-stricken economy and the financial support China provides to ease its bite have caused Turkish President Recep Tayyip Erdogan to in recent times make no more than ... more

Veteran trader shorts Eurozone debt on expectation European banks will soon be hit by Turkey’s market ructions

The head of macro strategies at Record Currency Management, which oversees $63bn in assets, is reportedly shorting government bonds of Spain, France and Italy—as well as the euro itself—on the ... more

Hopes rise for release of British dual nationals jailed in Iran as UK defence secretary acknowledges “Chieftain” debt

The UK defence secretary, Ben Wallace, has for the first time stated that he is actively seeking to pay a debt owed to Iran for the non-delivery of Chieftain tanks ordered by the last Shah of Iran ... more