The Ministry of Finance of Ukraine recently bought back approximately 10% of Eurobonds maturing in September 2022, as a result of which their volume in circulation decreased to $912 million, the ministry has announced in a statement.
“The Ministry of Finance of Ukraine has carried out several operations to repurchase GDP warrants, as a result … as of Feb. 4, 2022, the Ministry of Finance owns about 20% of the total nominal amount of securities,” the ministry explained in a press release.
In it, the Ministry of Finance emphasizes that such operations for the active management of state obligations in favorable market conditions are provided for by the Medium-term strategy for managing the state debt of Ukraine for 2021-2024 and are aimed at smoothing the debt service profile and reducing the peak burden on the state budget.
Funds for the redemption of GDP warrants are also provided for in the state budget, the agency said.
Earlier it was indicated that in the context of escalation of the military threat to Ukraine from Russia and the sale of Ukrainian assets caused by it, the cost of Eurobonds-2022 fell on some days below 90% of the face value, and their yield to maturity jumped to 26.5% per annum.
