Ukraine aggregate state debt increases 1% in November

Ukraine’s state and state-guaranteed debt rose 1.1%
m/m to USD 84.2 bln as of Nov. 30, the Finance Ministry reported on Dec. 25. State
domestic debt jumped 1.2% m/m to USD 31.8 bln, while state foreign debt inched
up 0.8% m/m to USD 42.3 bln. State-guaranteed debt increased 2.9% m/m to USD
10.2 bln.

In UAH terms, overall state debt gained 1.3% m/m in
November to UAH 2,398 bln, or 60.3% of Ukraine’s GDP in 2019.

Evgeniya Akhtyrko: The state
domestic debt increased in November as the receipts from the newly placed local
bonds exceeded the volume of redeemed bonds. The increase in state foreign debt
was mostly due to European Investment Bank financing of EUR 440 mln disbursed
for infrastructure projects in eastern Ukraine.

Ukraine’s state debt will pick up significantly in
December, given the skyrocketed last-minute placements of local bonds, the tap issue of Eurobonds for USD 600 mln
and the disbursement of an EU loan for EUR 600 mln.
We estimate state and state-guaranteed debt to reach USD 87.5 bln, or 61.5% of
GDP.