A market-friendly debt suspension in Ukraine
After multiple assertions that it would continue servicing its debt, Ukraine’s government finally gave in to the inevitable, proposing to suspend Eurobond payments for two years and offering a voluntary reprofiling to investors. The G7 and Paris Club announced a similar plan to suspend Ukraine’s debt service until the end of 2023. With no haircuts involved, bondholders are likely to accept the proposal.
What you will learn:
-
Reprofiling will save Ukraine about $6bn over the next two years.
-
While helpful, the figure pales alongside Ukraine’s fiscal gap, which, even after restructuring, will come to $5bn-$6bn a month.
-
The country will continue to rely on external funding to finance the gap. And as the funding for the most part is in the form of loans, not grants, further, less market-friendly restructuring will likely be needed in 2024.
Tags:
Related posts
![](https://www.oxfordeconomics.com/wp-content/uploads/2024/06/henry-co-3coKbdfnAFg-unsplash-375x250.jpg)
Post
APAC Global Construction Outlook Chartbook
Discover the latest insights into the upgraded global construction outlook with our exclusive chartbook. Delve into visual representations of key data points and trends to gain a comprehensive understanding of the industry's growth trajectory in 2024 and beyond.
Find Out More![](https://www.oxfordeconomics.com/wp-content/uploads/2024/06/Frankfurt-28-375x281.png)
Post
Sizeable backlog supporting European building construction activity
A substantial backlog of work is supporting building construction activity in the face of falling permits. Building companies in the EU report a 11.5-month backlog of work, up from an average of 9.5 months in the decade before the coronavirus pandemic.
Find Out More![](https://www.oxfordeconomics.com/wp-content/uploads/2024/05/andra-c-taylor-jr-JaIBAw3aFYE-unsplash-375x563.jpg)
Post
Key Global Construction Themes 2024
Global construction activity is forecast to fall over 2024. In this context, we have identified 6 themes that we think will dominate the narrative of the construction sector over 2024.
Find Out More