the Panic in world markets due to the spread of the epidemic of coronavirus in the world and the collapse in oil prices led to another sharp drop in the value of GDP warrants and Eurobonds of Ukraine: for the "black Monday" March 9, first fell by 9.2%, and the yield of the second increased by 1-1. 1 percentage points (PP).
according to the Agency, "Interfax-Ukraine" market participants, at the end of Monday's GDP-warrants cost about 81.8 per cent of par, while last week they were completed at around 90%, and two weeks ago they gave 107,5% of par value.
Eurobonds maturing in 2020 are now traded at a rate of about 4.9% per annum, 2021 – 5,7%, 2022 – 6%, 2023 – 6,9% and in 2025 – 7.3% per annum.
the Yield of securities maturing in 2025 reached 7.6% in 2026-2027 years – 7,7-7,9%, and the "long" with maturity in 2032 to 8.3%.
Since the last local maximum that was reached two weeks ago, rates of Ukrainian Eurobonds soared on average by 2.6 p. p.
Eurobonds in euros issued in January for 10 years at 4,375% per annum and quoted in the middle of February for 101% of face value on 90% on 6 March, in the "black Monday" has fallen in price to 80% of the nominal value (about 7.2% per annum). However, by the end of day of their quotation have grown to 82%.
According to experts, any change of government or reshuffle in the economic bloc adversely affect the market and investors.
"the Sale of Eurobonds in the secondary market will have no impact on the cost of servicing old debt. However, the cost of new borrowing could rise, following the General trend. That is now will accommodate much heavier and more expensive than previously," — said the head of Department of Analytics GK Forex Club Andrey Shevchishin.
Eurobonds will pull the other and bonds of domestic government loan (government bonds).
NBU already captures the decline in bonds in the accounts of non-residents, and this process will only increase, experts say. This can directly affect the rate of the national currency.
