Ukraine is set to issue a “war bond” to finance its armed forces in their fight against the Russian invasion as the nation sought to reassure investors that it will not default on its debt.
- In the announcement of a new bond auction set for Tuesday, the ministry of finance stated it is providing the citizens, businesses, and foreign investors with a chance to support the budget of Ukraine by investing in military bonds.
- Ukraine’s government commissioner for public debt management Yuriy Butsa described the fundraising initiative as a “military bond” focused on everyone who wants to support the budget in challenging times.
- Butsa informed investors that the initial plan of Russia failed while underscoring that Ukraine’s government is fully functioning and its treasury operations are fully functioning despite the Russian invasion.
Ukraine’s central bank has put up capital controls as an emergency intervention, which makes it challenging for foreign investors to take part in the auction.