The MoF sold FX-denominated bonds

Обзор облигаций 22.07.2015 The MoF sold US$205.15m of new 12-month USD-denominated bonds, accepting all six bids submitted at yesterday's primary auction. The cut-off interest rate was increased to 8.85% and weighted average and coupon rate at 8.79%. This differs from the similar auction held in June at which the MoF rejected three out of six submitted bids due to low volumes and high interest rates with a cut-off rate at 8.75%. At yesterday's auction, MoF had to increase the coupon rate by 13bp to accept all bids. These funds, scheduled to be received after the auction, will cover nearly two-thirds of FX-denominated domestic debt repayments scheduled for last week and today, as required by the IMF program. As this refinancing attempt was the second one held this year, we expect no new offerings of USD-denominated bonds very soon, particularly since the next significant redemption is scheduled in December 2015.