Finance Ministry not planning to place currency-pegged bonds in April
The schedule for placing government domestic loan bonds in April does not include currency-pegged bonds.
The scheduled was published by the Finance Ministry on Thursday.
According to the document, each Tuesday five- and seven-year bonds and six- and 12-month bonds in hryvnias will be offered to buyers.
The schedule says that on April 2, 2013 nine-month bonds will be put up for sale, on April 9 and April 16 – six- and 12-month bonds and on April 23 – only 12-month bonds.
In addition, on April 16, 2013, the ministry will offer three-year index bonds.
According to the national budget for 2013, Ukraine plans to increase government borrowing to the general fund of the budget in 2013 to 129.4 billion, with a reduction of foreign borrowing to UAH 36.5 billion. The cabinet predicts that total payments on the state debt will grow to UAH 116.1 billion.
Since the start of the year and as of March 25, 2013, UAH 13.61 billion was allocated to pay the state debt, including UAH 8.25 billion for domestic debt, while UAH 6.23 billion and UAH 3.97 billion allocated to service the debt respectively.
Since the start of the year the volumes of government bonds placed reached UAH 7 billion and $2.97 billion, and on the latest auctions on March 26, 2013 some UAH 1.4 billion and $656.4 million was raised, which was one of the best results over the whole history of holding the auctions.
In March, the ministry managed to reduce the rate of two- and three-year currency-pegged bonds to 7.75% and 8% per annum, that of index bonds – to 9.1% per annum and six-, nine- and 12-month bonds – to 7.75%, 9% and 10.5% per annum respectively.
Five- and seven-year bonds denominated in hryvnias were sold at the usual interest rate of 14.3% per annum.