MinFin weekly local bond receipts drop to UAH 0.9 bln

Ukraine’s Finance Ministry raised UAH 78 mln and USD
30 mln (UAH 894 mln  equivalent) at its weekly bond auction on Aug. 25,
compared to UAH 1.7 bln and USD 31 mln (UAH 2.5 bln equivalent) raised at the auction last week.
The auction receipts came from the placement of 4M UAH-denominated bonds and
14M USD-denominated bonds.

UAH-denominated bonds were sold to two out of four bidders
at 7% (the same rate for these bonds as two weeks ago). MinFin satisfied 22 out
of 24 bids for USD-denominated bonds at 3.5%.

Evgeniya Akhtyrko: The local
bond market is in its traditional summer vacation lethargy. However, there is
no guarantee that the next month will bring much of a revival to the market.
The government is likely to have difficulty in its attempts to increase UAH
auction receipts while keeping interest rates at the current level, as most
market players apparently find them too low.

Next week, MinFin is scheduled to place 6M, 1Y and 2Y
UAH-denominated bonds.