NBU could play role of market maker on secondary govt bonds market, denies participation in financing budget deficit

The National Bank of Ukraine (NBU) admits the role of a market maker in the secondary market for government domestic loan bonds and denies participation in financing the budget deficit through the purchase of government bonds in the primary market, NBU Deputy Governor Yurii Heletii has said.

"Our position remains unchanged – the NBU does not participate in financing budget expenditures through the purchase of government bonds in the primary market. We are processing different options of our participation in the secondary market … Perhaps this will be the role of a market maker in the secondary market in order to increase its depth, liquidity," he said during an online briefing y.

He pointed out that such operations should be aimed at developing the securities market, and their volume should be limited.

The banker also recalled that one of the tasks of the financial sector development strategy until 2025 is to develop a strategy for the NBU's participation in bidding in the secondary government bonds market.

Source: www.en.interfax.com.ua