KIEV, September 22. /TASS/. Ukraine’s cabinet of ministers has announced the launch of state debt restructuring. The Finance Ministry is to exchange debt securities to be restructured for new ones by December 1, 2015, the government said in a decree on Tuesday.

"Starting from September 23, Ukraine is temporarily suspending payments on redemption and service of state debt and government-backed debt on enlisted debt liabilities," the decree said.

On September 23, euro bonds worth $500 mln should have been repaid. As this will not happen Ukraine will be given default ratings.

As TASS reported earlier creditors agreed to write off around $4 bln worth of the country’s state debt, and to postpone payments on the remaining securities for 4 years. Within its state debt restructuring Ukraine will issue new securities pegged to the GDP growth rates. Those state derivatives will imply that if the country’s GDP tops $125.4 bln by 2020 /in 2014, Ukraine’s GDP stood at $100/ and increases at swift rates in the first 5 years creditors will receive the most of 1% of GDP on those securities, and 40% from GDP growth above 4% within 15 years after that.

Ukraine does not include its debt to Russia into the debt restructuring list.

The list of debt liabilities subjected to temporary suspension of payments has no mentioning of $3 bln worth Eurobonds purchased by Russia and mature at the end of 2015.

Ukraine will suspend foreign debt repayments and service payments from September 23, 2015. Furthermore, the Ukraine’s Ministry of Finance will float new bonds and exchange them for previous debt liabilities subjected to restructuring by December 1, 2015.

Ukraine agreed upon restructuring of its debt to private lenders. Russia earlier refused to take part in Ukraine’s debt restructuring negotiations.

Russia’s Finance Ministry did not receive formal invitation for restructuring talks from Ukraine

 The Russian Ministry of Finance did not receive a formal invitation from Ukraine for talks on restructuring the $3 bln worth loan, Director of the Government Debt and Government Financial Assets Department Konstantin Vyshkovsky told TASS on Tuesday.

"The Russian Finance Ministry has not received a formal notification from Ukraine," Vyshkovsky said.

Ukraine announced earlier on Tuesday that it stops making payments on restructured loans from September 23. Kiev posted notices on the website of the Irish Stock Exchange with invitation for all noteholders, including Russia, to take part in a restructuring meeting on October 14.

Ukraine agreed upon restructuring of its debt to private lenders in summer 2015. Russia refused to take part in Ukraine’s debt restructuring negotiations and is awaiting full repayment of the loan in December 2015.