12:23 29.03.2024

Ukraine signs agreement with United States on state debt payments deferral

1 min read
Ukraine signs agreement with United States on state debt payments deferral

A bilateral agreement with the United States on the deferral of payments on Ukraine's state debt was signed by Minister of Finance of Ukraine Serhiy Marchenko and U.S. Ambassador to Ukraine Bridget Brink.

"The signing of the agreement was conditioned by the provisions of the Memorandum of Understanding on the debt service suspension of Ukraine with a group of official creditors from the G7 and Paris Club," the report says.

According to information on the Ministry of Finance website, Ukraine’s state debt to the United States at the end of February this year amounted to UAH 200 million.

After the start of the Russian full-scale aggression against Ukraine in February 2022, the United States provided financing to Ukraine in the form of grants. Before this, Ukraine had the practice of issuing eurobonds under U.S. guarantees.

"This agreement will allow us to reduce the debt burden on the state budget as well as allocate the funds that were supposed to be paid for the repayment and servicing of debt obligations for the social and humanitarian needs," said Marchenko.

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