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Poroshenko says Ukraine avoided default

Kiev has to restructure $15.3 bln worth of debt to private investors in order to receive further finances

© Stepan Petrenko/TASS

KIEV, June 4. /TASS/. Ukraine has managed to avoid default and stabilize its macroeconomic situation, President Petro Poroshenko said in his annual address to the parliament, the Verkhovna Rada, on Thursday.

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"The massive macroeconomic aid from the International Monetary Fund and other international organizations, the EU states, the US and other countries - all this coupled with challenging and unpopular decisions and efficient actions by all branches of power allowed avoiding default, which seemed inevitable, stabilizing the macroeconomic situation and paying salaries and pensions without delays, slowing down the recession and controlling panic on the forex market," Poroshenko said.

The announcement was made just before telephone consultations between representatives of Ukraine’s Finance Ministry and a special creditors' committee on restructuring of Kiev's external debt planned for June 5. According to the IMF anti-crisis program for Ukraine, Kiev has to restructure $15.3 bln worth of debt to private investors in order to receive further finances. Ukraine plans to restructure payments worth $23 bln. According to the data provided by the country’s Finance Ministry, Kiev has spent $2.4 bln on debt servicing since the start of 2015.

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