Moscow. December 7. The U.S., refusing to provide a guarantee in the framework of the Russian-proposed debt restructuring of Ukraine, in fact, recognized the lack of prospects of restoring its solvency, declared the head of Russian foreign Ministry Sergei Lavrov said in an interview.
In December, Ukraine must repay Eurobonds for $3 billion in 2013 in favor of Russia. Kiev proposed Moscow restructuring of this issue in General terms with the holders of commercial obligations, the Russian Federation refused to discuss this option, insisting on a sovereign, rather than commercial, nature of the debt. In November, Russia offered the option: the installment payments for three years ($1 billion in 2016-2018) subject to guarantees from the USA, EU or international financial institution. On Saturday, the Finance Ministry reported that the US government officially denied the guarantees for the obligations of Ukraine.
“We were ready to go for the restructuring of Ukraine’s debt at $3 billion on much more favorable terms than what we were requested by the IMF. But these terms, which stretch the payment for one year, three years and even shares, of course, involved the fact that these payments from Ukraine would have to guarantee the EU, US and IMF or first class international Bank. We were denied. Thus, the United States, is officially abandoning the proposed scheme, showed that they do not see any prospects of Ukraine restore its solvency,” – said Lavrov.
On Tuesday, the IMF Executive Board will consider the issue of changing the organization’s policy against countries in arrears to official creditors. Now the politics of IMF lending excludes the possibility of financing a member from the Fund in arrears to the lender. The removal of this restriction will enable the IMF to continue lending to Ukraine under the current program of the expanded financing, even if Kiev will be in default before Russia released in 2014 Eurobonds worth $3 billion.
According to Lavrov, reform, which is now trying to implement, customized exclusively for Ukraine, and she can “lay a time bomb under all other programs of the IMF”. “The essence of this reform is the following: since Ukraine is politically important, important only because is against Russia, so the Ukraine to the IMF is ready to do all the things still not done, and the situation that 100% should mean the default will be regarded as a situation that enables the IMF to Fund Ukraine”, – said the Minister.