GENERAL ECONOMIC CONDITIONS

Throughout April, global financial markets were influenced by an escalation of geopolitical tensions in the Middle East, in particular due to Iran’s blockade of the Strait of Hormuz. This led to rising oil and energy prices, as well as increased volatility across global markets. The lack of clear forecasts regarding the normalization of the situation resulted in a revision of macroeconomic expectations both globally and in Ukraine.

Rising inflationary pressure prompted the National Bank of Ukraine to revise its annual inflation forecast from 7.5% to 9.4%. At the same time, the regulator kept the key policy rate unchanged at 15%, prioritizing further analysis of the impact of higher energy prices on domestic macroeconomic processes.

HRYVNIA INSTRUMENTS

In April, yields on UAH-denominated domestic government bonds (OVDPs) at primary auctions stabilized at the following levels:

• 1 year — 15.15%
• 2 years — 15.85%
• 3 years — 16.15%

Interest rates on time deposits in the banking sector remained at March levels, ranging between 9% and 14% in UAH. Yields on USD-denominated deposits remained unchanged at up to 2%, depending on the placement term.

In April, the Ministry of Finance of Ukraine continued placing foreign-currency OVDPs on the primary market with yields of 3.13–3.24% in US dollars and approximately 3.25% in euros. On the secondary market, yields did not exceed 2.25% in US dollars and 0.75% in euros.

FOREIGN EXCHANGE MARKET

In April, demand for foreign currency exceeded supply, resulting in a slight weakening of the hryvnia against the US dollar — from UAH 43.78 to UAH 43.90 per USD. The volume of foreign exchange interventions by the National Bank of Ukraine decreased by 24.8% month-on-month, from USD 4.77 billion to USD 3.6 billion.

Exchange rate stabilization is expected within the range of UAH 43.75–44.50 per USD in the second quarter of 2026

EXTERNAL MARKETS AND EUROBONDS

In the first half of April, investor interest in Ukraine’s external debt declined due to Hungary’s blocking of the European Union’s decision on providing the so-called “reparations loan.” However, following the defeat of the main initiator of the blockade in Hungary’s presidential elections on April 16, investor interest in Ukrainian debt instruments increased significantly.

As a result, prices of Ukrainian Eurobonds rose by 10.5–11.8% in April, depending on maturity.

PERFORMANCE OF OTP CAPITAL FUNDS

OTP Classic

In April, UAH 3.7 million worth of OVDPs were sold from the OTP Classic fund’s portfolio and replaced with OVDPs offering higher yields in the same amount.

The fund delivered a return of 1.0% for the month and 14.2% over the last 365 days.

OTP Kids

In April, OVDPs worth UAH 10.6 million were sold from the OTP Kids fund’s portfolio, while OVDPs worth UAH 11.8 million with longer maturities were purchased. The rebalancing within government securities was carried out amid rising OVDP yields, increasing the portfolio’s overall return potential.

The fund’s return amounted to 0.5% for the month and 16.7% over the last 365 days.

OTP Equity Fund

Management of the OTP Equity Fund in April focused on reallocating assets into short-term deposits at maximum available rates. In particular, deposits were reallocated to JSC Ukreximbank in the amount of UAH 1 million and to JSC Ukrgasbank in the amount of UAH 1 million.

The fund generated a return of 3.5% in April and 6.2% over the last 365 days.

OTP Valutnyi

No asset transactions were carried out within the OTP Valutnyi fund during April.

The fund’s performance amounted to 6.4% for March and 14.3% in US dollars over the last 365 days.

OTP Maximum

Management of the OTP Maximum fund focused on active rebalancing within the structure of government bonds amid rising yields. Specifically, OVDPs worth UAH 10.9 million were sold, while OVDPs worth UAH 22.9 million with higher yields were purchased.

Active portfolio rebalancing, as предусмотрено by the fund’s strategy, continues to generate additional returns for the fund and its investors.

As a result, the fund delivered a return of 0.9% for the reporting month, corresponding to 11.3% on an annualized basis.