EU AMBASSADOR DOESN'T EXPECT DEFAULT IN

UKRAINE AFTER IT SIGNS ASSOCIATION AGREEMENT MONDAY

30 SEPTEMBER 2013

EDITOR
The head of the European Union's delegation to Ukraine Jan Tombinski said he believes that the Sergey
signing of the association agreement with the EU will give impetus to the more successful Veshchikov
development of Ukraine. "Over the past few weeks we have heard the catastrophic forecast that the +38 044 354 2615
signing of the association agreement will result in a default in Ukraine, but I'm pleased that the
Ukrainian authorities realized that these predictions were wrong," the diplomat said at the press EDITOR
conference. He said Ukrainian authorities believe that a more successful development of Ukraine will Oleksandr
start after the signing of the agreement. However, Ukraine still needs to implement reforms in Ovcharenko
business environment to attract European companies and their investment into the Ukrainian +38 044 354 2615
market, Tombinski said. As reported, the Russian presidential advisor Sergei Glazyev said that
Ukraine was at risk of default if the association agreement with the EU was signed.

EUROPEAN PARLIAMENT TO RATIFY ASSOCIATION AGREEMENT WITH

UKRAINE BY MAY
Vice-Chair of the European Parliament's Committee on International Trade Pawel Zalewski has said
he believes that the European Parliament will ratify the association agreement with Ukraine by May
2013 and that informal consent to the provisional application of certain provisions of the agreement,
including its deep and comprehensive free trade area, has already been given. Speaking about the
need to obtain the consent of the European Parliament on the provisional application of the
association agreement after its signing, he said that such informal consent had already been given.
He also recalled that the European Parliament was only one of the parliaments, which should ratify
the Association Agreement, as the document is also be ratified by all national parliaments of the EU,
which, in his opinion, "will take years."

UKRAINE'S STATE DEBT IN AUGUST -1.3%

The total state (direct) and guaranteed debt of Ukraine in August fell by 1.3%, or by $690 million, to
$68.30 billion, the Ministry of Finance reported. As a whole since the beginning of the year the state
debt has increased by 6% (or by $3.9 billion) due to the fact that the Finance Ministry actively placed
not only bonds in the hryvnia, but government domestic loan bonds in foreign currency. The
authority has not clarified which part of the domestic debt as of late August is denominated in
foreign currency. As reported, in 2012 the total state debt of Ukraine increased by $5.3 billion, or
8.9%, in particular the internal debt rose by 18.8%, and the foreign debt by 3.1%.

DATA AND EVENTS

Date Data/event Unit Period Consensus Previous

01 October Gross FX reserves USDB Sep - 21.65
01 October Money Supply M3 BUAH Sep - 856.30

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Ukraine Weekly

USD/UAH Spot Price Ukrainian Stock Exchange (UX)

Volumes, MUAH (left)

60
8,19 Index UX (right) 1250
50
1150
8,14 40
1050
30 950
8,09
20 850
8,04 10 750
0 650
7,99 13‐Sep 5‐Nov 26‐Dec 21‐Feb 16‐Apr 14‐Jun 8‐Aug
28‐Sep 28‐Nov 28‐Jan 28‐Mar 28‐May 28‐Jul

Banks Balance on Correspondent Acc, B UAH Kieibor1M Rate, %

40
28 000
32
23 000 24
16
18 000
8

13 000 0
24‐Sep 24‐Nov 24‐Jan 24‐Mar24‐May 24‐Jul 24‐Sep 25‐Sep 25‐Nov 25‐Jan 25‐Mar 25‐May 25‐Jul 25‐Sep

RATES AND INDICATORS AS OF 30 SEPTEMBER 2013

LIBOR KIEIBID/KIEIBOR KievPRIME
USD EUR BID OFFER UAH
1m 0,1797 0,0857 O/N 1,17 2,33 O/N 2,35
2m 0,2165 0,1143 1W 1,95 3,00 1W 3,47
3m 0,2484 0,1593 2W 3,25 5,63 1M 5,97
6m 0,3665 0,2614 1M 3,42 5,42 2M 9,00
1Y 0,6261 0,4707 2M 6,00 9,00 3M 10,50
3M 7,33 10,83

National Bank Rate Non cash Rate

USD EUR buy sell
7,9930 10,8201 USD 8,18 8,20
EUR 11,05 11,08