it may freeze debt payments to fund war
Last Updated : GMT 04:32:38
Arab Today, arab today
Arab Today, arab today

Ukraine's PM Arseniy Yatsenyuk:

It may freeze debt payments to fund war

Arab Today, arab today

Arab Today, arab today It may freeze debt payments to fund war

Ukraine's PM Arseniy Yatsenyuk
Kiev - Arab Today

Ukraine's premier warned Friday that Kiev would freeze its debt repayments if no immediate deal was found with private lenders because it had to fund its escalating campaign against pro-Russian fighters.

Prime Minister Arseniy Yatsenyuk said on his return from a crunch visit to Washington that the International Monetary Fund had given his embattled government a few weeks' reprieve to enact laws needed for the release of new loans.

But the Western-backed cabinet leader said the Fund has signaled its readiness to let Ukraine restructure debts at its own pace -- and that interest payments to Western commercial lenders and Russia may stop as early as next week.

"Today, Ukraine spends as much on foreign and domestic debt servicing as it does on defence," Yatsenyuk told a government meeting.

"The budget can no longer afford it -- and not just the budget. The Ukrainian people can no longer live like this," he said.

"We will not take money out of Ukrainians' pockets to pay foreign debts."

An upsurge in fighting that has claimed at least 40 lives since last week has threatened a shaky truce deal the foes and Russia had signed off on under strong EU pressure in February.

Foreign monitors have since accused both sides of returning their heaviest weapons to the front in apparent preparation for a return of full-scale warfare in the 14-month eastern campaign.

- Creditor anxiety -

Growing security concerns have been compounded by seemingly deadlocked talks with foreign creditors who soaked up Ukrainian Eurobonds in far more peaceful times.

Kiev is up against seasoned financial heavyweights such as Franklin Templeton and other titans who believe that Ukraine has the funds stashed away in its central bank to repay its debts in full.
Ukraine's Finance Minister Natalie Jaresko has firmly refused to do so -- a position that has left the private lender increasingly anxious and Russia visibly irate.

"We are deeply concerned about the stance (Jaresko) is taking, which is not in the interests of Ukraine," Kiev's four biggest commercial lenders warned in a joint statement Thursday.

And Russia said it may ask the International Court of Justice in The Hague to declare Ukraine in default if it fails to make a scheduled $75-million interest payment on June 20.

Jaresko and Yatsenyuk mainly want to see the IMF back the quick release of a $1.7-billion loan that forms part of a $40-billion package the Fund and Ukraine's foreign allies have put together for the coming four years.

The Fund's board had been due to discuss Ukraine by the end of the month and initially set a debt restructuring deal as one of its main conditions.

That tough stance has since softened. The Fund's second in command said Kiev might be able to sneak through a loophole "called lending into arrears" that allows IMF payments to countries in technical default.

- IMF leniency -

But Yatsenyuk's team had thus far been unable to ram through parliament three vital pieces of legislation the Fund still wants to see before parcelling out the remainder of its slice of the global assistance deal.
One demands broader central bank independence. The other two aim to streamline the inefficient energy sector and clean up the financial mayhem reigning in Ukraine's cash-draining state oil and gas firm.

Ukraine's parliament is expected to debate all three measures next week.

Yatsenyuk said the IMF would now wait until July before tackling the tricky Ukrainian loan.

"We expect the (IMF) board to meet in July," he told cabinet members.

"So, all the preliminary conditions have to be agreed and approved by July."
Source: AFP

 

arabstoday
arabstoday

GMT 12:51 2017 Wednesday ,08 November

Al Walwel says Palestinian people able

GMT 22:32 2017 Tuesday ,07 November

UK queen's offshore investments

GMT 19:27 2017 Monday ,30 October

Govt committed to economic reform

GMT 17:50 2017 Wednesday ,18 October

UK Brexit budget offer is 'peanuts'

GMT 07:18 2017 Monday ,09 October

takes eurozone farewell bow

GMT 15:08 2017 Sunday ,08 October

Deutsche Bank plots more moderate

GMT 16:07 2017 Saturday ,07 October

Saudi companies invest in liquefied gas

GMT 21:52 2017 Tuesday ,03 October

Saudi , Russia to set up $1bn energy fund
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

it may freeze debt payments to fund war it may freeze debt payments to fund war

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

it may freeze debt payments to fund war it may freeze debt payments to fund war

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Prince's vision spurs new Cornwall village

GMT 03:12 2017 Saturday ,18 November

Prince's vision spurs new Cornwall village
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today Israel ready to cooperate with Saudi

GMT 06:31 2017 Friday ,17 November

Israel ready to cooperate with Saudi
Arab Today, arab today Airbnb raided by Japan

GMT 01:55 2017 Saturday ,18 November

Airbnb raided by Japan
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Tesla unveils its all-electric semi truck

GMT 02:59 2017 Saturday ,18 November

Tesla unveils its all-electric semi truck
Arab Today, arab today Baidu speeds up AI progress

GMT 11:46 2017 Friday ,17 November

Baidu speeds up AI progress
Arab Today, arab today Ayten Amer happy for “The Flood” success

GMT 08:06 2017 Wednesday ,15 November

Ayten Amer happy for “The Flood” success
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 08:21 2017 Tuesday ,14 November

Nelly Karim focuses on humanitarian roles

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 06:13 2017 Friday ,17 November

Pope denounces healthcare inequality

GMT 05:18 2017 Thursday ,16 November

Boeing announces $27bn from flydubai

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday