In other news, IMF re-writes own rules to continue lending to Ukraine despite it's basically bankrupt nature and despite it deciding not to pay Russia, proving finally, if there was any doubt left, that it is merely a pathetic instrument of US Imperial policy.
Topic: Ukraine will not pay $3bn loan owed to Russia by deadline, says prime minister (Read 326 times)
December 19, 2015, 01:11:53 PM
December 19, 2015, 07:56:30 AM
Ukraine and Russia governments are so bloody spiteful, as it seems like they are ready to eat shit as long as the other is forced to do the same.
Let's run the whole economy into ground to the 1980's level! But look the twits' market across the fence is at the 1970's level! Great success!
Let's run the whole economy into ground to the 1980's level! But look the twits' market across the fence is at the 1970's level! Great success!
December 19, 2015, 05:39:57 AM
Things will get quite murky. The International Monetary Fund (IMF) has already recognized this debt as "sovereign", meaning that Ukraine will tarnish its reputation if a default occurs. No matter how hard the Americans and the Brits try to rescue the Kiev Nazis, they will be in deep shit. No one will lend to them if something goes wrong.
December 19, 2015, 02:55:32 AM
Arseniy Yatsenyuk issues moratorium on outstanding debt, saying Russia has not accepted repayment terms offered to other international creditors
Arseniy Yatsenyuk, the Ukrainian prime minister, has said his country will not repay a $3bn (£2bn) debt owed to Russia by this weekend after Moscow refused to accept repayment terms already offered to other international creditors.
The moratorium on outstanding debt repayments to Russia effectively means that Ukraine is defaulting on the $3bn debt due on Sunday.
“After Russia refused to accept our offer despite our attempts to reach a restructuring deal, the government is imposing a moratorium on the repayment of the $3bn debt to Russia,” Yatsenyuk said at a televised government session.
He did not indicate when Ukraine would be ready to repay the debt. Moscow has said it will take Ukraine to court if it fails to pay on time.
The moratorium would be in place “until the acceptance of our restructuring proposals or the adoption of the relevant court decision ... We are prepared for court action from the Russian side,” Yatsenyuk said.
Ukraine’s economy has struggled over the past few years and the country has negotiated repayment terms with creditors, but not with Russia. In November, the Russian president, Vladimir Putin, proposed a debt restructuring saying Moscow would be willing to agree to payments of $1bn a year between 2016 and 2018.
Ukraine turned down the offer, saying it cannot legally offer Russia a better deal than the one it has negotiated with other debt holders. That deal has seen countries accept a 20% writedown of their Ukrainian bond holdings, a move which has cut Ukraine’s sovereign debt from $19bn to $15.5bn.
Read more: http://www.theguardian.com/world/2015/dec/18/ukraine-will-not-pay-3bn-loan-owed-to-russia-by-deadline-says-prime-minister
Arseniy Yatsenyuk, the Ukrainian prime minister, has said his country will not repay a $3bn (£2bn) debt owed to Russia by this weekend after Moscow refused to accept repayment terms already offered to other international creditors.
The moratorium on outstanding debt repayments to Russia effectively means that Ukraine is defaulting on the $3bn debt due on Sunday.
“After Russia refused to accept our offer despite our attempts to reach a restructuring deal, the government is imposing a moratorium on the repayment of the $3bn debt to Russia,” Yatsenyuk said at a televised government session.
He did not indicate when Ukraine would be ready to repay the debt. Moscow has said it will take Ukraine to court if it fails to pay on time.
The moratorium would be in place “until the acceptance of our restructuring proposals or the adoption of the relevant court decision ... We are prepared for court action from the Russian side,” Yatsenyuk said.
Ukraine’s economy has struggled over the past few years and the country has negotiated repayment terms with creditors, but not with Russia. In November, the Russian president, Vladimir Putin, proposed a debt restructuring saying Moscow would be willing to agree to payments of $1bn a year between 2016 and 2018.
Ukraine turned down the offer, saying it cannot legally offer Russia a better deal than the one it has negotiated with other debt holders. That deal has seen countries accept a 20% writedown of their Ukrainian bond holdings, a move which has cut Ukraine’s sovereign debt from $19bn to $15.5bn.
Read more: http://www.theguardian.com/world/2015/dec/18/ukraine-will-not-pay-3bn-loan-owed-to-russia-by-deadline-says-prime-minister
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