Canadian Prime Minister Justin Trudeau has released a new announcement on Ukraine’s sovereign bond.
Sovereign bond of Ukraine
The Canadian government has launched a $500 million Ukraine sovereign bond to help Russia’s war-torn Ukraine.
The program was introduced to give Canadians the opportunity to directly support the brave people of Ukraine.
The fund is said to allow Ukrainians to continue providing essential services such as pensions, fuel purchases and restoring energy infrastructure through the winter.
To this end, the Government of Canada has partnered with participating financial institutions to offer interested Canadians the opportunity to purchase $100 worth of Ukrainian sovereign bonds, the statement said.
Additionally, Canadians buying the Ukraine sovereign bond will be buying a regular five-year Canadian government bond at the current 3.3 percent yield, subject to market conditions at the time of issuance, and Canadians can be confident in the safety of their investment, which is fully supported by Canada’s AAA credit rating.
Upon completion of the bond issue, subject to negotiations with Ukraine, an amount equal to the proceeds of the bond will be transferred to Ukraine through an account managed by the International Monetary Fund (IMF) for Ukraine, the statement added.
@Patrick Doyle/Reuters
Essential services for Ukraine
In a post published by Justin Trudeau, ‘Canadians can now buy sovereign bonds. These bonds allow Canadians to provide direct support to Ukraine. “So the Ukrainian government can continue to provide essential services,” he said.
Update: Canadians can now purchase Ukraine Sovereignty Bonds. These bonds allow Canadians to provide direct support to Ukraine, so the Ukrainian government can keep providing essential services. Find out more here: https://t.co/7X0K3mvWXJ
— Justin Trudeau (@JustinTrudeau) November 21, 2022
Canada provides additional support to Ukraine through its participation in international financial institutions, including the World Bank and the European Bank for Reconstruction and Development, including the IMF.
Together, these three organizations have provided more than $28.5 billion in support to the people of Ukraine since Russia’s illegal invasion began.