Mounting debt: Finance ministry borrows another US$851 mln

The Ministry of Finance borrowed UAH 23.644 billion, or US$851.4 million, to the state budget at the latest weekly auction selling off government domestic loan bonds, held on December 29,

As reported on the ministry's website, funds in hryvnias were raised through the sale of eight packages of securities worth UAH 5.17 billion ($183.4 million), UAH 858.56 million ($30.46 million), UAH 5.77 billion ($204.7 million), UAH 990.88 million ($35.15 million), UAH 653.13 million ($23.17 million), UAH 611.2 million ($21.7 million), UAH 103.69 million ($3.68 million) and UAH 324.57 million ($11.51 million) with of 77-, 189-, 336-, 532-, 777-, 1,036-, 1,239-, and 1,519-day maturity periods, respectively.

Read alsoMacroeconomic outlook for 2021: GDP growth at 4% with moderate inflationFunds in dollars were raised as a result of the sale of bonds worth $322.85 million with a 92-day maturity period, with a weighted average yield of 2.90% per annum.

Background

In late April, the Finance Ministry returned to the domestic borrowing market after a few weeks off, having resumed weekly auctions to place government domestic loan bonds.

In January-November 2020, the ministry raised UAH 171.7 billion (US$6.1 billion) to the state budget, as well as US$2.9 billion and EUR 788 million.