Ukraine aggregate state debt climbs 1% in February

Ukraine’s state and state-guaranteed debt rose 0.7%
m/m to USD 91.4 bln as of Feb. 28, the Finance Ministry reported on March 25. State
domestic debt inched up 2.1% m/m to USD 36.7 bln, while state foreign debt
stayed flat at USD 44.3 bln. State-guaranteed debt declined 0.9% m/m to USD
10.4 bln.

In UAH terms, the overall state debt declined 0.2% m/m
in January to UAH 2,553 bln, or 60.9% of Ukraine’s GDP in 2020.

Evgeniya Akhtyrko: The state
debt in February increased as new domestic borrowing exceeded the redemption of
local bonds. The decline of the state debt in UAH terms was mostly a result of
0.9% hryvnia appreciation in February.

Ukraine state debt is not likely to undergo
significant changes in March. We expect that new borrowing at the domestic
market will be close to the volume of redeemed local bonds.