MOSCOW (Pakistan Point News / Sputnik - 15th September, 2022) Ukraine signed on September 14 a memorandum of understanding on the suspension of the official debt payments with the creditors from G7 countries and the Paris Cub, the Ukrainian finance ministry said.
"The Minister of Finance of Ukraine Sergii Marchenko signed the Memorandum of Understanding on the official debt service suspension with a group of official creditors of Ukraine from G7 countries and the Paris Club," the ministry said, adding that the total debt stock covered by the document amounts to about $3.1 billion.
The Memorandum was signed by the representatives of Canada, France, Germany, Japan, the United Kingdom and the United States.
The agreement follows the announcement of the group of official creditors of Ukraine made on July 20 about their intention to suspend principal and interest payments on bilateral debts from August 1, 2022, until the end of 2023, according to the ministry.
"The Participating Creditor Countries expressed their support for a debt service suspension to Ukraine to allow its Government to increase social, health or economic spending in response to the war," the statement read.
Freezing payments on sovereign eurobonds of Ukraine, the total amount of which are about $20 billion, will allow Kiev to save $6 billion in the next two years, Marchenko said on August 11.
