“The bonds were placed among the leading international investors who have provided financial support to Ukraine, given the instability of the international capital market for developing countries”, – stated in the message.
This operation will allow Ukraine to meet its short-term need for foreign exchange liquidity and to benefit from flexible conditions of attracting funds.
The press service noted that the Ministry of Finance continues to implement the approved strategy of public debt management, and plans to fully implement the plan of government external loans by raising funds from both commercial and official creditors.
Paper with a maturity until 2019, listed on the Vienna stock exchange.
Issue of securities may provide “much-needed interim financing” as long as Ukraine does not receive the next tranche of funding from the IMF, along with another bond issue (probably in September or October), noted strategist for emerging markets at Bluebay Asset Management Tim ash, quoted by Bloomberg.
Recall, according to the payment schedule until the end of 2018 Ukraine has to return about $ 500 million on Eurobonds and about $ 580 million in debt service to the IMF.
As you know, the Ministry of Finance is preparing to receive a new tranche from the IMF.
The IMF mission visit to Kiev on 6 September. After the visit a decision will be made about the disbursement of a tranche.
A key condition for tranche from the IMF is to increase gas prices for households to market. Prime Minister Vladimir Groisman expressed readiness for such a step.
As reported, the government adopted a medium-term strategy of public debt management in 2018-2020.