You're reading: Yatsenyuk says Ukraine restructures public-sector debt, no default announced

Ukraine has managed to reach an agreement with the Ad Hoc Committee of Creditors on restructuring and partially writing off its debts, Ukrainian Prime Minister Arseniy Yatsenyuk has said.

“The default that our enemies were waiting for will not take place,” he said while opening an extraordinary cabinet meeting on Aug. 27.

“Thanks to the efforts of the finance minister and the Ukrainian government, we’ve managed to receive the following conditions: the first is that 20 percent of the country’s debt is written off by our creditors,” Yatsenyuk said.

He added that this concerns the write-down of almost $4 billion.

Yatsenyuk added that Ukraine will not pay the principal of the credits for four years.