Ukraine recently sold 270 million USD worth of short-term bonds, adding much-needed liquidity to the nation’s coffers. The big deal here is that these short-term bonds were placed at a price of just 5.52% annualised return for the three-month bonds, and 5.89% for the six-month version. If we go back just a few years, international investors wouldn’t touch Ukrainian debt unless they were assured of double-digit returns. This is a sure sign of confidence in the economy for those who see the glass as half full!
Of course, for the realists, this is but a sticking plaster being placed on a deep wound. While the low coupon percentage certainly is meaningful, Ukraine has a much bigger hole to fill in treasury finances, and the only way to get that hole filled is to get the IMF aid programme back on track, whatever difficult choices that may entail. In the short term, a gap has been plugged, but in the medium term, Ukraine needs billions, not short-term borrowing in the millions.
In recent weeks, two more names have been added to the list of those vying for Ukraine’s top job. The number of candidates stands now at 24, with a couple more people still expected to put themselves forward yet. The problem with such a large playing field is that votes are going to be very […]
Ukrainians are rejoicing and singing halleluiah because of the recognition of Ukraine’s own brand of orthodoxy as a separate and independent church. The decision, made by the Constantinople Patriarchate, has angered Moscow who wanted religious ties between the two countries and churches to stay just as they were for reasons too long to go into […]
One of the best things to have happened, for Ukraine, since Donald Trump became President of the United States was the appointment of Ambassador Kurt Volker as special envoy to this region with the specific task of trying to bring peace to the Donbas. Volker has been very active and taken a principled approach to […]
The European Bank for Reconstruction and Development has just revealed their investment plans for Ukraine for the next five years. The bank is already the largest financial investor in the country, with some 14 billion USD at work across as many as 400 projects. Over the next five years, the bank has pledged to invest […]