Ukraine signed an agreement with the United States to defer payments on its national debt
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The conclusion of such a document is provided for by the Memorandum of Understanding on the suspension of payments on public debt with a group of official creditors of Ukraine from the G7 countries and the Paris Club.
The signing of this agreement will make it possible to reduce the debt burden on the state budget and direct the funds paid to repay and service debt obligations to the needs of the social and humanitarian spheres, says Minister of Finance Sergei Marchenko.
The agreement will allow Ukraine to suspend payments on its national debt until the end of March 2027.
This year, Ukraine plans to carry out a new large-scale restructuring of its external debt. The previous one was in 2022.
For 2023, the state budget was executed with a deficit of UAH 1.33 trillion, the Ministry of Finance reported. In particular, the general fund is UAH 1.36 trillion against the planned deficit for the year in the amount of UAH 1.83 trillion.
Ukraine’s total public debt in 2023 increased in dollar terms by $33.9 billion, or 30.4%, to $145.32 billion. In hryvnia terms, public debt increased by 35.4%, to UAH 5.5 trillion. It is noted that direct public debt increased by 34.4% – to $136.59 billion, or up to UAH 5.2 trillion, and amounted to 94% of the total amount of public and state-guaranteed debt.
In December, the amount of public and state-guaranteed debt of Ukraine increased in hryvnia equivalent by UAH 396.81 billion and in dollar equivalent by $4.49 billion.
Source: Racurs
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