Public and publicly guaranteed debt has become 1.4 times cheaper since 2022
Kyiv • UNN
As of March 31, 2024, Ukraine's public and publicly guaranteed debt amounted to UAH 5,924.3 billion, of which 71.6% was external and 28.4% was domestic, with the weighted average cost decreasing by 1.4 times and the average maturity increasing by 1.6 times since 2022.
As of March 31, 2024, Ukraine's public debt and state-guaranteed debt amounted to UAH 5,924.3 billion, of which 71.6% was external debt and 28.4% was domestic debt. This was reported by the Ministry of Finance, UNN writes.
Details
As of March 31, 2024, Ukraine's total public debt and state-guaranteed debt amounted to UAH 5,924.3 billion, equivalent to USD 151.1 billion.
Out of this amount, external debt amounted to UAH 4,239.5 billion, or 71.6% of the total debt, which is equal to USD 108.1 billion. Domestic debt amounted to UAH 1,684.73 billion, or 28.4% of the total debt, which is USD 43.0 billion.
In the first quarter of 2024, Ukraine's total public debt and state-guaranteed debt increased by UAH 404.8 billion, or USD 5.7 billion. The main reason for the growth was an increase in long-term concessional financing from international partners. This trend has been observed both during this quarter and in recent years.
Between 2022 and March 31, 2024, the weighted average cost of Ukraine's public debt and government-guaranteed debt decreased by 1.4 times, from 7.79% to 5.57%. At the same time, the average debt maturity increased by 1.6 times, from 6.27 years to 10.04 years.
The majority of Ukraine's public and guaranteed debt (53.8%) is represented by concessional loans received from international financial organizations and foreign governments. Securities issued on the domestic market account for 27.4% and on the foreign market for 16.0%. Borrowings from commercial banks and other financial institutions account for 2.8% of total debt.
In the currency breakdown of Ukraine's public and guaranteed debt, 33.2% is in euros, 26.3% in US dollars, 25.9% in hryvnias, 10.8% in special drawing rights (SDRs), and 3.8% in other currencies, including pounds sterling, Canadian dollars, and Japanese yen. Between January and March 2024, the Ministry of Finance held 46 auctions for the placement of government bonds, raising UAH 119.6 billion to cover the budget deficit.
As of March 31, 2024, the refinancing level of market bonds was 138%, including 207% for hryvnia bonds, 97% for US dollar bonds, and 93% for euro bonds.
Recall
Ukraine's international reserves decreased by 3.1% to $42.4 billion in April due to the NBU's foreign exchange interventions, foreign currency debt repayments, partially offset by inflows from international partners.
