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Investments in T-bills could lead to a delay in capital investments and hinder the implementation of infrastructure projects at the local level, the NBU said.
Actual proceeds from privatization in 2018 will be several times lower than the UAH 21.3 billion laid down in the state budget, which will force the government to seek compensators to cover liquidity gaps, including increasing borrowings in the domestic market.
The National Bank of Ukraine (NBU) noted that the recent initiative of the Cabinet of Ministers to allow local communities placing temporarily free funds in government securities could increase the demand for T-bills, according to a financial stability report by the regulator.
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At the same time, according to the NBU, the transfer of resources of local budgets to the government securities market is a temporary solution that does not fundamentally solve the problem.
In addition, as the regulator warned, investments in T-bills could lead to a delay in capital investments and hinder the implementation of infrastructure projects at the local level.
As UNIAN reported earlier, the 2018 Budget set a target of UAH 21.3 billion in revenues from privatization. The Cabinet of Ministers of Ukraine in late May published an order approving the list of large companies subject to sale in 2018.
According to the document, the list included 23 enterprises, although earlier the reports claimed there were 26 companies on that list.