NBU buys gov’t military bonds worth UAH 225B since early March

Since the beginning of the full-scale war, the National Bank has purchased UAH 225 billion worth of domestic government military bonds.

That’s according to Deputy Chairman of the National Bank, Serhiy Nikolaychuk, who spoke with the BBC, Ukrinform reports.

"Since the beginning of the war, the National Bank has purchased UAH 225 billion (US$7.6 billion) worth of military bonds from the government. Of them, UAH 20 billion – in March and UAH 50 billion each – in April and May. In June, the volume of emission financing of the budget deficit increased to UAH 105 billion," he said.

Nikolaychuk clarified that the reason is the irregularity and slow pace of receipt of international aid in May and early June, as well as the government’s weak involvement in the domestic debt market due to the unwillingness to raise the yield on hryvnia government bonds to the market level.

As reported, in the wake of Russian aggression, the Ukrainian government decided on the phased issue of military bonds. The plan is to carry out state internal borrowing in the amount of up to UAH 400 billion. Bond auction sales are held every Tuesday, starting from March 1.