Fitch Ratings has downgraded Ukraine`s City of Kyiv to Long-term foreign and local currency ratings ‘B+’ from ‘BB-’ (BB minus). Its Short term foreign currency rating is affirmed at ‘B’. The Outlooks for the Long-term ratings remain Negative. The action affects outstanding bonds issued by the city.

Fitch also revised the Outlooks on Ukraine`s City of Odessa and City of Kharkov to Negative from Stable. Their Long-term foreign and local currency ratings are affirmed at `B+` and Short term foreign currency ratings at ‘B’.

The rating actions follow the downgrade of Ukraine’s Long-term foreign and local currency Issuer Default Ratings to ‘B+’ from ‘BB-’ (BB minus) due to a significant and rising risk of financial crisis in Ukraine involving a large depreciation of the currency, stress in the banking system and significant damage to Ukraine’s real economy (see separate announcement on issued on 17 October). The Outlooks on the sovereign ratings remain Negative.