Wednesday, December 23, 2009

Ukraine's debts - main risk of 2010

Ukraine's obligations both government and corporate on short-term debts in 2010 is about $20 bn. Same obligations on long-term debts in 2010 is $10 bn. Therefore, overall Ukraine should pay off $30 bn in 2010. Thus the magnitude of default in the country totally lies with creditors. In their turn creditors will assess the situation in Ukraine depending on the power change in the country. Ukraine's presidential elections will slowly move into local elections and then there is a risk of Autumn re-election of the parliament. Therefore, 2010 promises to be a difficult year for Ukraine both politically and financially. Source.

Ukraine's probability of default on sovereign debt accoring to CMA Datavision is lower only to Venezuala, and both countries have probabilities of default above 50%. Source.

No comments:

Post a Comment

 
http://www.blogger.com/html?blogID=6885951565055517224
Top Blogs Finance