Ukraine PM calls new debt deal a blow to ‘enemy’ Russia
Ukrainian Prime Minister Arseniy Yatsenyuk said Thursday that the crucial debt deal struck between Kiev and its private creditors had delivered a blow to “enemy” Russia.
“The default that our enemy was awaiting did not happen,” Yatsenyuk told a government meeting after Ukraine’s biggest commercial lenders agreed to a 20-percent write-down on the face value of their debt.
Russia had refused to join talks on ways Ukraine could save on the repayment of US$15.3 billion (13.6 billion euros) over the next four years.
The sum is part of a global US$40-billion rescue package that the International Monetary Fund patched together for the cashstarved former Soviet republic in February.
Ukraine on December 20 is scheduled to repay the principal of a US$3-billion Eurobond that Russian-backed ex-president Viktor Yanukovych issued months before his ouster by pro-European street protesters and lawmakers.
Kiev believes the sum should be treated as a commercial loan that should be restructured along the lines of Thursday’s agreement with Franklin Templeton and three other global financial titans.