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G7 countries agree to postpone Ukraine’s national debt payment until 2027 - Ministry of Finance
News Censor.NET Economics
21.12.23 21:55
https://censor.net/en/n3463101

Today, on December 21, Minister of Finance of Ukraine Serhii Marchenko signed amendments to the Memorandum of Understanding on the suspension of payments on official debt with a group of official creditors of Ukraine from the G7 countries and the Paris Club.

This was reported by the press service of the Ministry of Finance of Ukraine, Censor.NET reports.

“Today’s signing will extend until the end of March 2027, which corresponds to the end of the current IMF EFF program, the Memorandum of Understanding on the suspension of payments on public and publicly guaranteed debt with a group of official creditors of Ukraine from the G7 countries and the Paris Club, which was signed on September 14, 2022,” the Ministry said.

The signatories were representatives of the governments of Canada, France, Germany, Japan, the United Kingdom, and the United States of America.

“I am grateful to our partners from the G7 countries for understanding Ukraine’s needs in the time of war. Today’s agreement on the revision of debt obligations allows us to reduce the burden on the budget until the end of the IMF program and save foreign currency liquidity to ensure social spending. This voluntary suspension of debt repayment is part of the USD 122 billion package of international support provided by Ukraine’s partners,” said Minister of Finance of Ukraine Serhii Marchenko.

The Group of Official Creditors recognized the work of the Government of Ukraine in fulfilling the conditions of the IMF Extended Fund Facility (EFF) program and implementing important reforms, including in the area of debt policy, which will form the basis for the country’s economic recovery.

During the meeting, the Minister of Finance also emphasized the importance of preserving financial resources, in particular by providing Ukraine’s external private creditors with the most acceptable debt regime before the expiration of the debt service suspension period provided by them in August 2022.