Economy and politics

According to a note from the Ministry of Finance, the sovereign debt grew 0.3% MoM in June to USD 12.54 bln while the sovereign-guaranteed debt was up 21.0% to USD 7.95 bln. Therefore, the gross sovereign foreign debt has grown 7.5% to USD 20.49 bln.

According to preliminary data from the National Bank of Ukraine, the BOP deficit in 1H09 reached USD 7.3 bln, compared to USD 6.6 bln in January-May 2009. The BOP deficit in June reached USD 732 mln, compared to a USD 275 mln deficit in May.

According to a note from the State Statistics Committee of Ukraine, industrial output grew 3.1% MoM in June (1.3% MoM growth in May). Therefore, industrial output has fallen 27.5% YoY in June (31.8% YoY decline in May) and 31.1% YoY in January-June (31.9% YoY in January-May).

According to a note from the State Statistics Committee, the merchandise balance dropped 74.9% YoY to USD 2.2 bln in Jan-May 2009. Merchandise exports in Jan-May fell 44.1% to USD 14.4 bln while merchandise imports fell 52.0% to USD 16.6 bln. Compared to Jan-Apr, merchandise exports in Jan-May grew 25.6% while imports grew 24.0%.

The head of the IMF mission to Ukraine Ms. Ceyla Pazarbasioglu has announced that the Ukrainian government and the IMF mission have reached a preliminary agreement to provide with the third tranche of the stand-by emergency loan.

According to an announcement from the IMF, the Fund has reviewed its macroeconomic forecasts for Ukraine.

According to a note from the National Bank of Ukraine, foreign reserves dropped USD 448.7 mln (1.6% MoM) in June and have reached USD 27.34 bln. The YtD drop, therefore, has reached 13.3% (USD 4.2 bln).

According to a note from the State Statistics Committee, CPI grew 1.1% MoM while PPI grew 1.4% MoM in June. Therefore, CPI has grown 15% YoY and 8.6% YtD while PPI demonstrated a 0.9% YoY decline and 4.2% growth YtD.

According to a note from the National Bank of Ukraine, FDI fell to USD 1.8 bln in January-May, compared to USD 4.3 bln a year ago.

According to a note from the State Property Fund of Ukraine (SPF), the annual privatization plan in 1H09 is 94.2% below target, with UAH 501.5 mln ( USD 65.8 mln) collected so far. Specifically, in January-May, the SPF collected UAH 493.1 mln (USD 64.5 mln).