Since the beginning of the full-scale war, there has been a more than 2-fold increase in Ukrainians' interest in domestic government bonds

Since the beginning of russia's full-scale invasion of Ukraine, the interest of individuals and businesses in investing in domestic government bonds has increased significantly.

In particular, the volume of investments by entities increased by more than 1.7 times to UAH 139 billion during this period. And by individuals - more than 2 times to UAH 53.3 billion.

Since its launch on October 3, 2022, the Diia app has already been used to purchase more than UAH 2.8 billion worth of war bonds.

One of the main reasons for the growth is the attractiveness of such investments, as the yields on domestic government bonds are significantly higher than the inflation rate. For example, as of December 2023, the real weighted average yield on hryvnia-denominated bonds (minus official inflation) was 12.1% year-on-year.

In total, since the beginning of martial law, the State Budget has attracted almost UAH 1,232.9 billion in equivalent to finance the State Budget through the issuance of domestic government bonds. Of this amount, UAH 552.6 billion in equivalent was issued in 2023, including UAH 388.5 billion, USD 3.7 billion, and EUR 735.8 million.  

At the same time, the repayments of domestic government bonds in 2023 amounted to UAH 369.8 billion in equivalent, including UAH 225.1 billion, USD 3.3 billion, and EUR 582.2 million.

Thus, at the end of 2023, the net attraction of funds amounted to: UAH 163.4 billion, USD 370.4 million and EUR 153.6 million.

The level of domestic debt rollover was 150%. This included 172.6% for hryvnia-denominated domestic government bonds, 111.2% for US dollar-denominated domestic government bonds, and 126.4% for euro-denominated domestic government bonds.

In general, the NBU (43.5%) and the banking sector (41.5%) continue to hold the largest share of domestic government bonds in the structure of holders. This is followed by entities (8.8%), individuals (3.4%), non-residents (2.7%), and territorial communities (0.1%).

The key sources of funding for the Armed Forces of Ukraine are tax and non-tax domestic revenues, as well as the issuance of domestic government bonds. Therefore, we urge Ukrainians to invest in domestic government bonds. Convenient digital solutions for purchasing bonds, market yields that exceed inflation expectations, and a 100% guarantee of repayment from the state make government bonds the most attractive instrument on the market.