The Finance Ministry of Ukraine / Photo from investgazeta.net
The Ukrainian Finance Ministry says that only Russia did not approve the terms of debt restructuring, according to a posting on the ministry's website.
"The only series of Ukrainian bonds which did not approve the terms of the restructuring, and whose holders will accordingly be ineligible to receive new sovereign securities on the settlement date, is the December 2015 $3 billion bond [held by Russia]," the posting reads.
The ministry announced that the settlement of Ukraine's debt restructuring, including delivery of new Ukrainian sovereign securities to holders entitled thereto, is expected to occur on November 12, 2015. "The terms of the restructuring were approved by 13 series of outstanding sovereign and sovereign guaranteed bonds at bondholders meetings held on October 14, 2015," the posting reads.
According to the ministry, settlement of the exchange offer will result in the restructuring of $15 billion of Ukraine's external debt, achieve a 20% debt reduction for Ukraine ($3 billion) and allow Ukraine to avoid paying any of the previously scheduled $8.5 billion of principal falling due under such bonds during the next four years.
"This success represents the outcome of seven months of intensive work of all Ukrainian authorities, coordinated by the Ministry of Finance, to convince Ukraine's bondholders of the necessity of a debt restructuring," the posting reads.
As UNIAN reported earlier, the International Monetary Fund (IMF) has called on Ukraine and Russia to engage in constructive discussions on the restructuring of this bond "to provide the necessary financing for the program being supported by the IMF in Ukraine and to help restore debt sustainability," according to Director of the IMF's Communications Department Gerry Rice.