Bonds: Primary auction results

Обзор облигаций 31.10.2014 At yesterday's unscheduled primary auction, the MoF sold only the 2-year bond to one bank at an interest rate of 16.51%, or 2bp higher than the rate on Wednesday. The MoF sold UAH850.0m of new bonds and received UAH852.69m of proceeds. Investment implications: The additional auction and new proceeds likely were needed at the end of the month to raise funds to meet budget expenditures as tax revenues are low. The high level of liquidity normally absorbed by the NBU via CDs now shows that outflows to the budget via month-end tax payments are low.