Moody’s Investors Service cut Ukraine’s credit rating to its second-lowest level Tuesday, while warning that creditors faced deep losses in debt-restructuring negotiations with bondholders.
A statement from the credit rating agency said default on repayment of $40 billion in aid from the International Monetary Fund was “virtually” certain, as Kyiv continues preliminary talks on restructuring the majority of its outstanding eurobonds.
Ukraine, mired in a costly and deadly yearlong conflict with pro-Russian rebels near the Russian border, is seeking to cut about $15 billion from its debt-servicing costs over four years, as part of the IMF aid approved earlier this month.
Moody’s said …read more
Source: Voice of America
