Ukraine agrees with Eurobond owners on debt restructuring - Shmyhal

Ukrainian Prime Minister Denys Shmyhal announced this on Telegram, Ukrinform reports.

"We are restoring debt sustainability. Today, we have reached an agreement in principle with the Committee of Eurobond Owners of Ukraine. This is an important stage in the debt restructuring process, which will allow us to save $11.4 billion on its servicing over the next three years and $22.75 billion by 2033," Shmyhal said.

In this way, he added, "we will be able to free up resources for urgent needs: our defense, social protection and recovery."

Shmyhal thanked the Ukrainian Finance Ministry's team for their professional work.

On June 17, the Cabinet of Ministers published a cleansing statement on the London Stock Exchange with a proposal to restructure Ukraine's commercial foreign debt. Ukraine's proposal consisted of the exchange of the Eurobonds for either a package of fixed income instruments (the "Vanilla Bonds") and state-contingent instruments (the "SCDIs") ("Option 1") or a package of Vanilla Bonds ("Option 2").

The program of Ukraine's cooperation with the IMF provides for a two-stage restructuring of the foreign debt -- in 2024 and 2026.

Photo: Denys Smyhal / Telegram