Fixed Income

April 16, 2018

Ukrainian sovereign Eurobonds declined last week after fresh estimates showed that the country must repay a daunting USD 45bn in foreign debt by 2028. According to the schedule of payments published by the Finance Ministry, the payments within the period will include debt redemptions of USD 33bn and another USD 12bn in debt servicing. This year alone, foreign debt repayment is estimated at USD 3.8bn. Among overall encouraging expectations for Ukraine were the latest agro forecasts suggesting that the national grain harvest should increase by at least 1 million tonnes to 62mn tonnes in 2018. There was some ground for optimism on the political stability front, with the likelihood fading that a pre-term parliamentary election would be called before the presidential election due next March.