Page 93 - RusRPTFeb19

potential Eurobond issues will be used as additional sources of funding.
The ministry wants to be technically ready for the possible placement of Eurobonds “as soon as possible” and can enter the market at the first favorable opportunity, Interfax reports citing one of the participants of a Ministry of Finance conference call.
The Ministry of Finance issued two Eurobonds in 2018: in March it placed Eurobonds for $4bn, and in November for the first time in five years, offered investors bonds in euros, worth €1bn.
8.5.1 Fixed income - bond news
Starting on December 19, MinFin will issue inflation-linked ruble- denominated debt (OFZs) every month. Demand for inflation-linked bonds grows when uncertainty is high because the security protects investors from price increases eroding the value of their returns. With the bond’s principal and interest payments indexed to inflation, any increase in price levels directly translates into higher payments to investors. The Ministry of Finance has been issuing OFZs with fixed par values to varying success lately, as investors
93 RUSSIA Country Report February 2019 www.intellinews.com