According to the Ministry of Finance of Ukraine, during 2025 the government raised approximately UAH 570 billion through domestic government bonds (OVDPs), confirming the ability of the domestic market to partially offset limited access to international capital markets amid the war.
One of the key trends in 2025 was a sharp increase in investment from households. The OVDP portfolio held by individuals grew from UAH 78.5 billion to UAH 111.9 billion, or by 42.6% year-on-year. As a result, the share of households in the total OVDP portfolio increased from 4.2% to 5.7%.
According to official statistics from the Ministry of Finance of Ukraine, investor demand in 2025 was concentrated primarily in short- and medium-term hryvnia-denominated OVDPs with maturities of up to three years. This portfolio structure reflects investors’ preference for maintaining liquidity and limiting interest rate risks amid wartime uncertainty.
This trend indicates a gradual transformation of OVDPs from a “professional” instrument used mainly by banks and large institutions into a mass savings instrument for households. In practice, an increasing number of Ukrainians are using government bonds as an alternative to bank deposits, offering comparable or higher returns with minimal risk.
Corporate investors also increased their holdings: their portfolio grew from UAH 178.2 billion to UAH 212.3 billion, while their share rose from 9.6% to 10.8%. At the same time, the largest holders of OVDPs remain:
- Commercial banks — UAH 937.1 billion
- National Bank of Ukraine — UAH 664.5 billion
Thus, the banking sector and the central bank continue to play a system-forming role in financing the budget and supporting liquidity in the domestic debt market.
In 2025, the weighted average yield on hryvnia-denominated OVDPs increased to 16.24%, making them particularly attractive against the backdrop of controlled inflation and a more stable foreign exchange market. At the same time, yields on foreign-currency instruments declined:
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US dollar-denominated OVDPs — 4.17%
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Euro-denominated bonds — 3.22%
The strongest demand among foreign-currency instruments was for US dollar-denominated OVDPs with maturities of around 1.5 years. Overall, approximately $2.5 billion was raised through foreign-currency OVDPs in 2025, helping to partially reduce the budget’s foreign exchange risks.
An important element of debt policy was the use of switch auctions totaling around UAH 35 billion, which made it possible to optimize the redemption schedule and reduce short-term debt pressure. The overall refinancing ratio of domestic debt in 2025 reached 118%, and 131% in the hryvnia segment, indicating a high level of investor confidence in government debt instruments.
Military OVDPs also played a distinct role in the growth of domestic borrowing, with proceeds directed directly to financing the security and defense sector. This instrument became one of the drivers of increased participation by individuals, combining investment returns with a social motivation to support the state during wartime.
Against average hryvnia deposit rates, which in 2025 generally ranged between 12% and 15% per annum before tax, hryvnia-denominated OVDPs with yields above 16% and no tax burden effectively became a more attractive alternative for conservative investors and households.
Key factors behind the growing public interest in OVDPs include:
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exemption of income from government bonds from taxation;
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a 100% state guarantee of principal repayment;
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simplified access through banks and online platforms;
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a transparent instrument with fixed returns amid uncertainty.
Since the start of the full-scale war, domestic borrowing via OVDPs has provided Ukraine with around UAH 2 trillion. In 2026, the Ministry of Finance plans to raise up to UAH 420 billion through this instrument, underscoring the continued central role of the domestic market in budget financing.
