EAVEX Weekly

September 16, 2019

Most Kyiv-listed stocks finished lower last week, with the PFTS index falling by 2.4% to 515 points, which is the benchmark’s lowest level in 13 months. Information that an IMF mission arrived in Kyiv and started talks on a new cooperation program for Ukraine failed to inspire local investors. Fighting corruption will be a key component of any new lending program Ukraine gets with the IMF, the organization’s official spokesman said in a Sept 12 briefing in Washington. The country has a tough debt repayment schedule for 2020-2022 and therefore has a pressing need to replace the current USD 3.9bn standby arrangement with the IMF, which expires at the end of the year, with a longer-term program. In the PFTS index basket, CentrEnergo (CEEN) was the worst-performing component, dropping by 6.9% to UAH 10.11 per share after a Kyiv court reopened an old case regarding the company’s non-payment for coal that it received back in 2004. We doubt that the case has any prospects, but taking into ac