The Ministry of Finance plans to reduce the supply of dollar bonds
6 January 01:08
The Ministry of Finance of Ukraine, which held eight auctions for the placement of foreign currency domestic government bonds (DGBs) in the fourth quarter of 2025, has now planned only three for the first quarter of 2026. This is evidenced by the schedule of placement of domestic government bonds published on the website of the Ministry of Finance, "Komersant Ukrainian" reports
Auctions for the placement of 1.5-year dollar-denominated bonds have been announced for February 24 and March 3, and for February 10 – for euro-denominated bonds.
As for hryvnia government bonds, according to the schedule, the Ministry of Finance will continue to hold three auctions every Tuesday to sell securities with maturities of 1-1.2 years, 1.7-2.0 years and 3 years, and only on January 6, another auction for longer-term bonds with a maturity of 3.7 years was announced.
At the first auctions of this year, all four bond issues will be offered in nominal amounts of UAH 5 billion each.
According to the current practice, the Ministry of Finance may update the auction schedule during the quarter.
According to the state budget law, domestic borrowings of UAH 419.57 billion and repayments of UAH 524.46 billion are planned for this year, while the budget is to be financed by external borrowings of UAH 2 trillion 130.27 billion against external liabilities of UAH 132.36 billion.
Last year, the NBU raised over UAH 569 billion in the domestic market: uAH 430.13 billion, USD 2.446 billion, and EUR 779.2 million. The volume of borrowings exceeded the volume of repayments by UAH 93.76 billion.
At the same time, in 2024, a record was reached in terms of raising funds in the domestic government bonds market – UAH 638.4 billion. The interest rate for dollar-denominated bonds at the last auction on December 9 was 4% per annum, and for euro-denominated bonds at the auction on December 23 was 3.25% per annum.
