The Ministry of Finance continues to increase the amount of government bonds

At yesterday's auction the Ministry of Finance brought in a budget 3,016 billion, most of which - due to the location of the 3-year government bonds yield with 15.06% per annum.

According to the NBU, the volume of government bonds in the portfolio of non-residents increased from 300 million $ in the beginning of the year to 3.95 billion $ or 98 billion.

During 9 months of 2019 Ukraine through placement of government bonds has attracted 194,8 billion (which 320,7% higher than the corresponding figure 2018), 3.8 billion $ and 189 million euros. This is equivalent to 300 billion in the planned law on the state budget for 2019 202 billion. That is a plan for domestic loans only for 9 months exceeded 50%, which violates the budget Act in excess of the limit of borrowing on the domestic market.

the Sale of government bonds remains a major factor in strengthening the hryvnia on the interbank market. This week the situation developed in a similar way: nonresidents sold foreign currency to buy securities in national currency, and national Bank bought the surplus to support the exchange rate. In the absence of income from non-residents the demand and supply of currency on the interbank market would be more balanced.

the national Bank yesterday through a system of Matching acquired at least $ 30 million, which not only withstood the exchange rate of the subsidence, but also pushed him to grow, while trading results remained at the level of 24,84/24,87 UAH/$.

market Expectations regarding the growth of the hryvnia exchange rate is not justified, since no one expected that the Finance Ministry will continue to place t-bills outside the budget plan pace until the end of the year, and will resume the placement of bonds only with the new year.