The Cabinet of Ministers on April 14 prematurely redeemed interest-bearing domestic state loan bonds owned by the National Bank in the amount of UAH 800 million, issued in October 2000 in the volume of over UAH 9.5 billion during the restructuring of payments on state bonds owned by the NBU.
This was reported to "Ukrainian News" by Halyna Pakhachuk, Director of the State Debt Management Department of the Ministry of Finance.
"Yesterday we redeemed UAH 800 million successfully," she said.
The yield on these securities is 11.64% per annum.
After the redemption of UAH 800 million in POVDP, securities worth less than UAH 5.5 billion will remain in circulation.
As the agency reported, on April 8 the Cabinet of Ministers prematurely redeemed POVDP owned by the National Bank in the amount of UAH 200 million.
The POVDP were issued in October 2000 during the restructuring of payments on state bonds owned by the National Bank.
Initially, securities worth more than UAH 9.5 billion at nominal value were in circulation.
Almost all POVDP are owned by the National Bank.
The Ministry of Finance began redeeming them on January 1, 2002, and planned to redeem them in equal installments by January 1, 2010.
The Cabinet of Ministers reduced the yield on POVDP in 2003 by 5.83 percentage points to a negative mark (-0.65% per annum), and later equated the negative yield on POVDP to zero.
In 2004, the Cabinet of Ministers raised the yield on POVDP by 9.33 percentage points to 8.68% per annum, and in 2005 raised it by 2.96 percentage points to 11.64% per annum.