Cabinet issues government bonds worth UAH 42 bln to capitalize Naftogaz, says source
The volume of government domestic loan bonds in circulation on Wednesday grew by UAH 43.57 billion, including bonds worth UAH 42.07 billion in the portfolio of holders that are non-banks, the National Bank of Ukraine (NBU) has reported.
A well-informed source in the government told Interfax-Ukraine that national joint-stock company Naftogaz Ukrainy received the bonds under amendments made to the national budget for 2014.
Interfax-Ukraine has not managed to receive the official confirmation of the information that Naftogaz Ukrainy received the bonds.
As reported, after a permit of the Ukrainian parliament to increase the upper limit for the capitalization of Naftogaz Ukrainy by UAH 63.27 billion, to UAH 96.61 billion, the Cabinet of Ministers on August 4 ordered the Finance Ministry to issue government domestic loan bonds to capitalize the state holding.
The securities are issued for up to 10 years and up to 14.3% per annum.