Page 59 - UKRRptSept21

lawmaker owned regional energy companies if their monopolies threaten the energy market, the Kyiv Post reported.
Ukraine achieved a better rating than Russia, which received a triple B rating and a “stable” outlook for 2021 so far. Ukraine now fares just marginally worse than its neighbour Poland, which recently received an A- “stable” outlook.
Moody’s rates Ukraine at Caa1 with stable outlook on its foreign currency debt. The local debt is also rated at Caa1.
Moody’s last upgraded Ukraine from Caa2 (Positive) in August 2017 as the country emerged from an economic meltdown that year. The lowest rating the country had was Ca (Negative) in March 2015 in the wake of the Euromaidan protests that ousted president Viktor Yanukovych. The highest the country has scored was B1 (positive) in August 2008 as the entire region boomed before the global financial crisis struck that autumn.
Standard & Poor’s (S&P) rates both Ukraine’s foreign and local debt at B-
with stable outlook.
S&P last upgraded Ukraine’s rating from Caa2 (positive) in August 2017. The rating nadir was Ca (negative) awarded in March 2015 following the Maidan events. Its zenith was B1 (positive) awarded in August 2008 at the apex of the region-wide boom.
8.5 Fixed income
The government bond auction on August 19 raised the hryvnia equivalent $30mn – the lowest proceeds of the year and less than one third the level of the previous week. Bond yields did not change, ranging from 11.14% for one-year bonds to 12.3% for three-year bonds. There will be no auction next week due to the Independence Day holiday on Tuesday. ICU writes: “This auction was the least successful this year in terms of raising funds.”
Finance Ministry's aim in public debt market is to switch to long-term instruments, will dictate conditions, the Minister Serhiy Marchenko told Interfax-Ukraine. It’s striving to be as efficient as possible in the markets of state internal and external debt and to avoid unexpected developments. "We have minimized borrowings on short-term instruments. There are practically no three-month or six-month bonds,” he said.
Finance Minister said that the National Bank’s decision “strange.” Responding to the NBU’s decision to postpone the increase in the risk weight of government bonds in foreign currency to 100% for only six months, Marchenko expressed his surprise and said discussions with it regarding the rollover on such currency securities would continue.
59 UKRAINE Country Report September 2021 www.intellinews.com