Nonresidents keeping their local bonds, Concorde Capital expert says

Alexander Paraschiy, the Head of Research at Concorde Capital, discussed with the Ekonomichna Pravda (epravda.com.ua) news site whether foreigners will remove their money from Ukraine.

Many private banks have restrictions on the purchase of high-risk bonds with Ukraine’s rating. So the main hope for demand is from state banks. So it’s hard to say for what price and discount that local government bonds can be sold on the secondary market.

The theoretical holders of Ukrainian Eurobonds, which include nonresidents, can sell them if prices grow. But so far, nonresidents haven’t had a particular desire to sell, according to the National Bank’s statistics. It’s likely that many have been ready to hold them until maturity.

Commented Alexander Paraschiy, the Head of Research at Concorde Capital (founder and CEO Igor Mazepa) discussed with the Ekonomichna Pravda (epravda.com.ua) news site whether foreigners will remove their money from Ukraine.

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