Resignation of NBU governor temporarily affects Ukraine’s issuing eurobonds, we will talk on further plans later – Finance minister

A statement on the resignation of the governor of the National Bank of Ukraine (NBU), Yakiv Smolii, has affected the temporary suspension of Ukraine's issuing eurobonds, the Ministry of Finance will later decide what to do next, Minister of Finance Serhiy Marchenko has stated.

"As soon as we completed the issue, we learned about the news … this is the resignation of the NBU governor. Therefore, I think, we made a balanced decision in the morning to stop this issue. Investors appreciated our decision … We are ready to make a certain pause, and then decide what and how we will do," he said during a press briefing.

According to Marchenko, Smolii's decision was "absolutely extraordinary." He added that there could be no worse moment than yesterday's corresponding statement for placing Ukraine's issue of eurobonds.

As reported, on Thursday morning, Ukraine canceled a deal on the issue of new 12-year $1.75 billion eurobonds with the option of buyback for $750 million eurobonds maturing in 2021-2022.

The deal was launched on July 1. Initially, the benchmark yield was 7.875%, then it was reduced to 7.625%, and finally to 7.3-7.4%. The total "new" demand (that is, excluding those presented for redemption as part of a tender held in parallel with the new placement for two old issues) amounted to $7.5 billion

Source: www.en.interfax.com.ua