Off the wire
• 1st Ld-Writethru: China Focus: Xi stresses boosting public confidence in judicial system  • Roundup: Wine fair Vinitaly closes with optimism about Italian wine industry  • China's Yunnan reports another H5N1 bird flu human case  • China to boost "Made in China 2025" strategy  • Authorities investigate graft case of former Shanghai official  • Iceland's unemployment rises slightly in Feb.  • Top legislature to inspect implementation of Vocational Education Law  • China, Armenia pledge closer friendship, cooperation  • Top legislature to withdraw taxation authority from State Council by 2020  • China's tourism watchdog reacts to tourist deaths in Thailand  
You are here: 　 Home

Moody's downgrades Ukraine's credit rating to Ca

Xinhua, March 26, 2015 Adjust font size:

International ratings agency Moody's Investors Service Inc. downgraded Ukraine's credit rating by one level from Caa3 to Ca, its second-lowest level, according to a report released here by the agency on Wednesday.

The long-term outlook for Ukraine remains "negative," it added.

The rating company said that Ukraine government's plan to restructure its Eurobonds obligations was a key reason for the downgrade, suggesting that the country's investors will incur "substantial losses" due to the move and may loose confidence in Ukraine.

The Moody's expected that despite plans for debt restructuring, Ukraine's government and external debt levels will remain "very high" in the near future and there is a high probability of debt default.

In mid-March, Ukraine announced that it has began consultations with its lenders on the restructuring of the state debt, which reached 1.1 trillion hryvnyas (about 47.3 billion U.S. dollars) or 71.5 percent of the GDP at the end of 2014.

Ukraine plunged into its worst economic recession in decades in since the nation's political crisis began in February 2014 following anti-government protests.

According to the State Statistics Service, the country's GDP shrank 6.8 percent last year. Endi