UNIAN
International rating agency Standard & Poor's has lowered its ratings for the city of Kyiv to "CC" from "CCC-" with a negative outlook after the announcement of the Ukrainian government's plans to restructure debts, including a $550-million eurobond issue by the city of Kyiv, with default on that debt seen as “inevitable.”
"The negative outlook reflects the deteriorating macroeconomic environment and growing pressure on the financial sector, as well as our view that default on Kyiv’s foreign currency debt is virtually inevitable," the statement said.
"The Ukrainian government has announced its intention to restructure its foreign currency commercial debt. Under our criteria, we expect we would classify an exchange offer or similar restructuring of Ukraine’s foreign currency debt as tantamount to default," the ratings agency said in a statement.