The International Monetary Fund (IMF) called on Ukraine and its creditors to continue negotiations on the country’s debt, a Fund’s statement said on Wednesday.
“The Fund encourages Ukraine and its creditors to continue efforts to reach an agreement that meets the financing and debt objectives under the authorities’ economic reform program supported by the IMF,” the statement said following a meeting between creditors and Ukrainian authorities at the IMF Headquarters in Washington.
In mid-June, Ukraine asked creditors to take a 40-percent write-down in principal and accept new bonds tied to its future economic performance under its repayment plan.
On Friday, Ukrainian Finance Minister Natalie Jaresko said the creditor group had refused to contribute to Ukraine’s recovery, warning that Kiev was ready to cut off debt payments if negotiations did not progress.
The total public debt of Ukraine is some $70 billion dollars, $40 billion of which make up the foreign debt.