The rating of Ukraine was increased to expect the end of the war in Ukraine by 2023 - Fitch Agency

The Fitch Ratings International Agency has increased the long -term rating of the Issuer of Ukraine's default in foreign currency. The revision of the rating of Ukraine was influenced by several factors, including expectations that the war in Ukraine will end by 2023. Fitch Ratings changed the rating from the level of "RD" - limited default - to the level of "SS" (very high credit risk). This is stated in the message published on the website.

According to Fitch, the rating was made possible after the investors' consent was announced to restructure Ukrainian foreign debt. "The payment of principal and interest on Ukrainian Eurobonds worth about $ 6 billion was delayed by 24 months, which softened the pressure on external debt service in the context of weakening international reserves and the urgent need for war -related expenses.

The restructuring of 75% of bond owners (in total nominal amount) was obtained, which exceeds the required minimum of 66. 7%, " - said Fitch. However, the agency reported that the "CC" rating reflects the unregulated risks of debt stability associated with the attack of Russia, as well as the extremely stressful state of public and external finances and the macro -financial situation of Ukraine.

"We expect the war to last until 2023, which will result in public debt exceeding 100% of GDP, which will increase the already huge costs of infrastructure and production volumes, as well as increase inflation and external pressure, while the sources of deficit financing remain. Thus. , in our opinion, the probable wider restructuring of public commercial debt, although the terms are not defined, ”the agency said.

NBU member Vitaliy Shapran said in the comment of focus:" When actions will take place on the transfer of payments (foreign debt), the ratings of Ukraine will increase " . Actually, such an increase in the rating was reported at Fitch. Earlier, Focus wrote that, despite the decline of Ukraine ratings, focus experts surveyed were considered that the default did not happen, and the deferral of debt payments took in foreign currency to a selective and limited default.