Moscow. June 3. Ukraine and the United States on Friday signed an agreement to provide loan guarantees worth $1 billion. the Agreement will allow Ukraine to issue five-year Eurobonds and to draw on international capital markets us $1 billion at an interest rate of 2% per annum to the General Fund of the state budget.
As they say in the message of the Ukrainian Ministry of Finance, from the Ukrainian side the document was signed by Minister Alexander danyluk, the American Ambassador Geoffrey R. Pyatt and the authorized representative of the USAID mission Joel Sandefur.
Funds will be used for the social support of the most vulnerable segments of the population from the influence of economic factors, including the result of bringing gas prices to market levels”.
The office recalls that the warranty agreement is a part of bilateral and multilateral economic support to Ukraine, including a four-year program EFF extended Fund International monetary Fund (IMF), and is the third such agreement in the last two years. As a result of two previous concluded in 2014 and 2015, Ukraine has attracted $2 billion in foreign markets at low rates and sent them to a reform programme.
Экономика19 may 2016В the IMF agreed to provide Ukraine the third tranche of $1.7 to minchiate read more
Earlier in the Ukrainian Finance Ministry to the Agency “Interfax-Ukraine” have specified that the placement of Eurobonds under the state guarantees of the U.S. plan after the IMF decision on the allocation of the third tranche of $1.7 billion according to the EFF program, which is expected in early July.
The first issue of bonds for $1 billion under U.S. guarantees of Ukraine posted in may 2014. Then the yield 28 basis points over the yield of US government bonds maturing April 30, 2019 and amounted to 1,844% per annum. The organizers were JP Morgan and Morgan Stanley.
The second issue of five-year Eurobonds for $1 billion was posted on may 27, 2015 with a yield in excess of similar U.S. government bonds by 32 basis points 1,847% per annum. The organizers of the deal were Citi, JP Morgan and Morgan Stanley.