°
Ashburn

The German newspaper warned about the threat of the bankruptcy of Ukraine

Due to the resignation of the head of the national Bank of Ukraine (NBU) Yakov Smoliy country once again faces bankruptcy, this writes the German business newspaper Handelsblatt.

Smoliy, who served as head of the national Bank from March 2018 Wednesday wrote a letter of resignation, explaining that "systematic political pressure" on the Bank, and filed with the President. The Verkhovna Rada of Ukraine on proposal of President Vladimir Zelensky on Friday fired Smoliy from office.

"Now Ukraine as a state once again faces bankruptcy. The fact that Kyiv needs urgently to ensure the repayment of debt to foreign creditors of several billion. Only this year Ukraine will have to refinance old loans in the amount of $ 17 billion, maturity period of which is expiring," writes the author of the material.

Due to an unexpected resignation Smoliy, as noted in the article, was stopped by the issue of Eurobonds that on 8 July it was planned to place on the London stock exchange.

In 2014, Ukraine was able to survive financially only through "calculated in the billions of" aid from the International monetary Fund, said the material.

According to analysts, care Smoliy is a slap in the face for Zelenski, as well as no-confidence vote against his agenda for reform, writes Handelsblatt. So, an expert on Ukraine, a senior strategist at independent London company asset management BlueBay Timothy ash called the resignation of head NBU "a heavy blow for Ukraine, a big risk for the market-financial stabilization of the country."

Earlier, the Finance Minister of Ukraine Serhiy Marchenko said that Ukraine expects to end the year with $ 3.5 billion from the International monetary Fund on a new program, up to $ 1 billion from the world Bank and EUR 1 billion macro-financial assistance from the European Union.

According to the head of the IMF's Kristalina Georgieva, the new program of support of Ukraine is connected with great risk and uncertainty. In her opinion, as economic recovery after the crisis will need fiscal tightening.