Headline via Reuters:
- Ukraine's government invokes moratorium law, will suspend foreign debt payments starting August 1 - resolution
More:
- Ukraine will not pay a $34 million coupon payment on a 2026-maturing Eurobond due on August 1. The government had an additional 10-day grace period to make the payment, but the government indicated it will not pay.
- Ukraine's restructuring plan to address its $20 billion of international debt. The invasion by Russia is now in its 29th month. This has been a drain on Ukraine finances.
- It is the second time in a decade that a Russian invasion has forced Ukraine to go through a debt restructuring, the last one being in 2015 after Moscow annexed Crimea.
- The default - much like a similar situation in 2015 - is expected to be short-lived and have minimal long-term impact.
