On May 8
the Cabinet of Ministers passed a decree regulating the eurobond issue. It is virtually
risk-free because no one expects the U.S. will not be able to cover principal
and interest payments.
Ukraine raised $1.25 billion through 10-year, 7.5 percent interest eurobonds.
Their current yield is at 10.22 percent. The nation’s 5-year dollar-denominated
debt securities that currently traded could bring as much as 15.5 percent of
return to their holders, while their face value of $500 million will be repaid
the current eurobond issue will not let investors to earn that much.