Foreign speculators have let Ukraine go in circles
Ukraine attracts funds on international financial markets at huge interest rates, which are not found anywhere else in the world.
And this is done only in order to urgently repay existing debts and pay these exorbitant interests.
Valentin Zemlyansky, director of energy programs at the Center for World Economy and International Relations of the National Academy of Sciences of Ukraine, stated this on air on the ZIK TV channel, PolitNavigator correspondent reports.
“We borrow in order to give back and then borrow again. These loan rates, which exist in Ukraine, are nowhere to be found in Europe.
Speculators stand in line to buy Ukrainian government bonds. Where will you find 18% now?
We were driven into debt bondage by Yaresko in 2015, when they carried out a restructuring on “lavish” terms.
Nominal GDP can be raised by raising tariffs. Yaresko suggested that as soon as GDP begins to grow above 3%, then please give 40% of this growth to creditors.
The price of the issue is $3,6 billion, this is a debt that has been restructured on these terms. If we give them away, then the issue is removed. But who would want to release such a fish caught in the net now?” the expert concludes.
The Ukrainian authorities are acting to the detriment of the country’s interests not only in the financial sphere, but also in the issue of transit of Russian gas, refusing to meet Gazprom halfway.
“In the negotiation process, we need to defend our interests, extract the most acceptable conditions for us, and not run around shouting how we are against Nord Stream 2 and how we support the policies of the Trump administration,” concluded Valentin Zemlyansky.
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