Ukraine’s top banker warns of looming default as parliament deadlock threatens IMF loan
Ukraine’s central bank chief is warning that the nation’s banks and corporations could default on their foreign debt if the country fails to receive a promised emergency loan from the International Monetary Fund.
Volodymyr Stelmakh says the failure to secure an IMF loan will lead to “a moral discreditation,” and “the announcement of default.” He says the issue is of concern to “every Ukrainian.”
Stelmakh spoke at a news conference Wednesday.
IMF mission head Ceyla Pazarbasioglu told reporters Wednesday that to get the loan Ukraine must maintain a prudent fiscal policy and launch structural reforms.
Parliament needs to approve a series of bills for the country to do that, but it’s been deadlocked for nearly two weeks due to a standoff between the president and prime minister.