Finance Ministry announces first tender for year and a half to select primary dealers
The Ministry of Finance has scheduled the first tender since September 2011 for the selection of primary dealers on the market of government domestic loan bonds.
According to the Web site of the ministry, the tender will be held on May 27, and bids are tp be accepted until May 24.
Only banks with a charter capital of at least EUR 10 million, whose total trading in government domestic loan bonds since early 2005 has exceeded UAH 1 billion, can get the status of a primary dealer.
According to the procedure for selecting primary dealers set in 2009, their number cannot exceed 16. From August 2009 to July 2011, the Ministry of Finance had conducted seven tenders, at which selected 16 banks. Agreements with the banks are signed indefinitely.
The procedure foresees that the following tenders are carried out if the number of primary dealers is less than 16. Since that time, the ministry has scheduled one tender for September 16, 2011, which was then postponed until September 30, but the results have not been announced.
The ministry told Interfax-Ukraine that a tender is announced if the number of primary dealers is below 16.