Fixed Income
There was a moderate decline in the value of Ukrainian sovereign Eurobonds last week. Although the news flow was uneventful, it was announced that the IMF monitoring mission in Ukraine on the first revision of the stand-by arrangements plans to start work on Sept 21. The next tranche from the IMF should be USD 700mn. The country also expects to receive the second tranche of EU macro-financial assistance in the amount of EUR 600mn. Taking into account that the National Bank’s foreign currency reserves stood at USD 31.6bn at the beginning of this month, covering an equivalent of 4.4 months of future imports, Ukraine has enough cash to meet the short term need of USD 3.6bn to service the government’s foreign currency debt through the year-end.
