The objective of the Ministry of Finance in the public debt market is to switch to long-term instruments, dictate the terms
The Ministry of Finance of Ukraine strives to be as efficient as possible in the state’s domestic and foreign debt markets, avoiding sudden movements, Finance Minister Serhiy Marchenko said in an interview with Interfax-Ukraine.
“We have minimized borrowing on short-term instruments. There are hardly any three- or six-month bonds. This is the main objective – to switch to long-term instruments and as the finance ministry dictates. market conditions, ”he said. .
In an exclusive interview with Interfax-Ukraine, Marchenko said that one of the goals was to exclude cases where certain market players are manipulating the situation, trying to artificially create better conditions for themselves.
“Now we have a partnership: we borrow on terms acceptable to the Ministry of Finance, but at the same time corresponding to current macroeconomic and market conditions,” said the minister.
Marchenko added that the Ministry of Finance is constantly interested in creating long-term instruments and said that there is a constant demand for two- and three-year bonds, although the ministry also offers five- and six-year government bonds. years at the same time. .
Commenting on the decision of the National Bank of Ukraine to postpone the increase in the risk weight of foreign currency government bonds to 100% for only six months, the minister called the decision strange and announced the prosecution. discussions with the central bank regarding the rollover on these foreign currency securities.
“Even foreign exchange securities are government issued securities guaranteed by the state. We will conduct a discussion with the National Bank on an adequate valuation of these securities. The priority for us is the national hryvnia borrowing, but s’ there is a need to borrow in the domestic market in foreign currency, they [foreign currency government bonds] must be valued at the same level as in the hryvnia, “explained the Minister.