According to the MoF, yesterday's auction budget proceeds amounted to US$483.9m. All types of bonds by maturity were proposed: half-year, 1-year, 2-year and 3-year. All bonds were denominated in local currency. The MoF satisfied all submitted demand and the biggest was for half-year bonds which amounted to UAH150m in one bid at 13.85%.
Demand for the 1-year and 2-year bonds amounted to UAH100m each with one bid each at 14.4% and 14.46%, respectively, while the 3-year bond received five bids, all of which were accepted at 14.54%.
Investment implications: All rates remained unchanged, indicating that market participants are confident that on Thursday the NBU's board meeting will keep the key policy rate unchanged. Moreover, there was low demand as debt repayments to the market this week will be a paltry UAH100m.
ICU is an asset management and investmnet banking company.