The restructuring of the domestic debt of the State Railway Administration (Ukrzaliznytsia) will be completed before the end of the summer. Minister of Infrastructure Andrii Pyvovarskyi made this forecast during a briefing at the Cabinet of Ministers on Friday, June 26, the CFTS correspondent reports.
"I have just attended a meeting at the National Bank, and I am now confirming once again that we will complete the restructuring by the end of the summer," said the minister.
As reported, Pyvovarskyi said in early summer that agreement would be reached with Ukrzaliznytsia’s Ukrainian creditors before the end of August.
As is known, Ukrzaliznytsia announced technical default on its debt on May 12. Specifically, Ukrzaliznytsia announced technical default on almost all its domestic commercial debt (which amounts to UAH 22 billion) and its external debt on Eurobonds (UAH 10 billion). Its total debt amounts to UAH 37 billion, of which UAH 32 billion will be restructured.
According to Ukrzaliznytsia’s acting head Maksym Blank, Ukrzaliznytsia’s debt of UAH 5 billion to the European Bank for Reconstruction and Development and the Ukrainian Export-Import Bank (Ukreximbank) is not subject to restructuring. Blank also said that According to Blank, 35% of Ukrzaliznytsia’s external debt is held by Russian banks.
