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Interfax.com  |  Interfax news  |  Ukraine to issue "military" govt bonds worth 1.1...


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April 15, 2014 21:29

Ukraine to issue "military" govt bonds worth 1.1 bln hryvni at 7% per annum

KYIV. April 15 (Interfax) - The Ukrainian Finance Ministry is to make issues of two-year government "military" bonds with worth 1.1 billion hryvni at an annual interest rate of 7%.

According to government resolutions published on Tuesday, the first issue is non-documentary government bonds with a face value of 1 billion hryvni. The second one is documentary treasury bonds with a face value of 100 milion hryvni.

The yield on the bonds issued at a face value of 1,000 hryvni will be paid every six months.

The National Savings Bank has been chosen to act as a general agent for allocating and servicing the circulation and redemption of the treasury bonds and will receive 0.5% from the par value of the sold securities. To maintain liquidity, it is allowed to buy back the treasury bonds at a price not below their par value.

"Such a proposal is an appeal to the community to unite in their efforts, wishes and intention to join the process of resolving national problems and providing financial help to national armed forces in order to increase their combat readiness and boost the country's defensive capabilities," the Finance Ministry said in its earlier announcement of the "military" bonds.

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