Al Mayadeen English

  • Ar
  • Es
  • x
Al Mayadeen English

Slogan

  • News
    • Politics
    • Economy
    • Sports
    • Arts&Culture
    • Health
    • Miscellaneous
    • Technology
    • Environment
  • Articles
    • Opinion
    • Analysis
    • Blog
    • Features
  • Videos
    • NewsFeed
    • Video Features
    • Explainers
    • TV
    • Digital Series
  • Infographs
  • In Pictures
  • • LIVE
News
  • Politics
  • Economy
  • Sports
  • Arts&Culture
  • Health
  • Miscellaneous
  • Technology
  • Environment
Articles
  • Opinion
  • Analysis
  • Blog
  • Features
Videos
  • NewsFeed
  • Video Features
  • Explainers
  • TV
  • Digital Series
Infographs
In Pictures
  • Africa
  • Asia
  • Asia-Pacific
  • Europe
  • Latin America
  • MENA
  • Palestine
  • US & Canada
BREAKING
Al Mayadeen's correspondent in Gaza: 30 martyrs and 120 wounded by Israeli fire while heading to a 'US aid distribution site' west of Rafah.
Araghchi to Grossi: These parties will bear responsibility for the consequences of their actions
Araghchi to Grossi: Iran will respond to any unlawful action by European countries or parties attempting to turn the Agency into a tool for achieving their objectives
Araghchi to Grossi: We urge the Agency to warn against the consequences of any political move against Iran
Araghchi to Grossi: We call on the Agency to highlight Iran’s full cooperation during the upcoming Board of Governors meeting next week
Araghchi to Grossi: We demand that the Agency reflect the facts in a manner that prevents certain parties from exploiting it to advance their political agendas
Iranian Foreign Minister Abbas Araghchi holds a phone call with IAEA Director General Rafael Grossi
Trump envoy Witkoff has sent 'detailed and acceptable proposal' to Iran for nuclear deal; it's in their best interest to accept it: White House Press Secretary Leavitt
Hamas official says Witkoff's position toward group was 'unfair' and shows 'complete bias' to 'Israel'
Hamas official says it has considered Witkoff's proposal acceptable for negotiations, says 'Israel's' response was incompatible with what the group agreed on

Ukraine plans to adopt law allowing foreign debt payments suspension

  • By Al Mayadeen English
  • Source: Bloomberg
  • 18 Jul 2024 18:29
3 Min Read

The clock is ticking for Ukraine and bondholders on debt restructure, as a payment freeze agreed upon 2 years ago will soon expire.

Listen
  • x
  • Ukraine plans law allowing foreign debt payments suspension
    Volodymyr Zelensky at the ceremony marking the day of the creation of the Ukrainian state, in Kiev, on July 15, 2024 (AFP)

Ukraine intends to pass legislation allowing the government to freeze foreign debt payments while the country and its international creditors negotiate conditions for restructuring more than $20 billion in bonds, Bloomberg reported.

The proposed law, filed by the chairman of President Volodymyr Zelensky's party, aims to allow for the suspension of payments on foreign sovereign debt and state-guaranteed obligations due to a coupon payment scheduled for August 1.

The parliamentary budget committee convened Thursday morning and suggested that the measure be approved by the assembly, according to chairman Danylo Hetmantsev's message on Telegram.

The clock is ticking for Ukraine and bondholders on debt restructure, as a payment freeze agreed upon 2 years ago will soon expire.

Unless a settlement is reached or a two-year moratorium is extended by the end of this month, Ukraine will legally default on its obligations in September.

"It is necessary to introduce, for the period of transactions to change the terms of borrowing, temporary measures related to the servicing and repayment of debt obligations and a moratorium on satisfaction of creditors' claims," the bill that was released by the president's office said.

Related News

Iran warns against politicization of IAEA, during critical period

US Envoy calls Hamas ceasefire response 'totally unacceptable'

UK urged to protect Ukraine from legal action over private debts

Campaigners are lobbying Britain's incoming Labour administration to stop Ukraine from being sued in UK courts if it fails to pay its obligations to private creditors.

Debt Justice stated that a two-year moratorium on Ukraine's debt payments was set to expire on August 1, and that action was required to shield Kiev from potential legal action from its creditors.

Ukraine is negotiating with bondholders for a 60% debt writedown on the $24 billion (£18.7 billion) owed to private creditors. Bondholders, who include major financial firms such as BlackRock, Pimco, Fidelity, and AllianceBernstein, have shown their willingness to accept a 20% loss.

Bilateral creditors, notably the United Kingdom, have agreed to prolong the suspension of debt payments until 2027, but no deal has been reached with private creditors. The assistance provided by private creditors amounts to around 12% of Ukraine's yearly national product (GDP).

Kiev is concerned that if the 1 August deadline lapses, asset managers will sell their bonds to hedge funds, who will then sue. All of Ukraine's bonds are regulated by British law, thus any legal proceedings would take place in the United Kingdom.

According to Heidi Chow, Debt Justice's executive director, Ukraine "should not have to fight off shameless bondholders" while it "resists an invasion."

“These loans were given at high interest because of the supposed risk. That risk materialized the day Russia invaded.”

  • Russia
  • war in Ukraine
  • Ukraine
  • Kiev
  • United States
  • Volodymyr Zelensky
Russia & NATO

Russia & NATO

As the Draconian Western-led sanctions on Russia exacerbate the economic crisis worldwide, and as Russian troops gain more ground despite the influx of military aid into Ukraine, exposing US direct involvement in bio-labs spread across Eastern Europe and the insurgence of neo-Nazi groups… How will things unfold?

Most Read

President Donald Trump and Israeli Prime Minister Benjamin Netanyahu arrive to a news conference in the East Room of the White House, Tuesday, Feb. 4, 2025, in Washington (AP)

Rift widens: Trump, Netanyahu clash in heated phone call over Iran

  • Politics
  • 26 May 2025
US judges quietly consider private security amid Trump tensions

US judges quietly consider private security amid Trump pressures

  • US & Canada
  • 25 May 2025
An Israeli army vehicle moves in the Gaza Strip as seen from southern occupied Palestine, Thursday, May 29, 2025 (AP)

Hamas rejects Witkoff ceasefire plan, says alters terms

  • Politics
  • 29 May 2025
Spokesperson for the Yemeni Armed Forces, Brigadier General Yahya Saree, announces a new operation against Ben Gurion Airport on May 29, 2025 (Yemeni Military Media)

Yemen announces successful hypersonic missile strike on Ben Gurion

  • Politics
  • 30 May 2025

Coverage

All
War on Gaza

Read Next

All
MIT bans class president who gave pro-Palestine speech
US & Canada

MIT bans class president over pro-Palestine speech

Arab ministers condemn Israel 'ban' on planned West Bank visit
Politics

Arab ministers condemn Israeli ban on planned West Bank visit

Major General Hu Gangfeng, Vice President, National Defense University, People's Liberation Army, China, leaves after a panel discussion during the 22nd Shangri-La Dialogue summit in Singapore, Saturday, May 31, 2025. (AP Photo/Anupam Nath)
Politics

China blasts Hegseth, calls US top 'troublemaker' in Asia-Pacific

US activists demand shutdown of Musk's 'dirty' supercomputer: Reports
Technology

US activists demand shutdown of Musk's 'dirty' supercomputer: NBC News

Al Mayadeen English

Al Mayadeen is an Arab Independent Media Satellite Channel.

All Rights Reserved

  • x
  • Privacy Policy
  • About Us
  • Contact Us
  • Authors
Android
iOS