Ukraine raises USD 0.5 bln from additional 8Y Eurobond placement

23 July 2021

Ukraine’s Finance Ministry priced its USD 0.5 bln additional issue of 8-year international bonds on July 22, it reported the same day. The issue was priced at 6.30% yield. MinFin noted that the final order book of USD 1.7 bln helped to lower the yield by 32.5 bps from the initial yield target and by 57.5 bps from the yield at the primary placement in April.

 

“We limited the size of the transaction as we remain committed to our strategy of covering most of our external borrowing needs with concessional financing”, said the Finance Minister Serhiy Marchenko.

 

Evgeniya Akhtyrko: The high demand indicates that the latest additional issue of international Eurobonds was a success. These government’s receipts are essential given its weak ability to generate new borrowing at the local bond market recently.

 

It also was very important to hear that cooperation with IFIs is still the government's priority for completing international borrowing in 2021. This means that the government is likely to make additional efforts in order to reach more progress in issues that have been pointed out by the IMF recently.