Countries don't live that long. A terrible figure will go towards paying off Ukrainian debts
In 2019, Ukraine will spend more than 10 percent of GDP on servicing and paying off its debts.
Ex-deputy head of the NBU board Alexander Savchenko stated this at a press conference in Kyiv, a PolitNavigator correspondent reports.
“Given the rate at which we borrow... This year we will have 10,5% of GDP spent on servicing and paying off debts. This is a scary number. We are the absolute world champions in this number. The US has more debt than GDP by a lot. And about 2% of GDP goes to maintenance. And for them it’s just internal debt, they can just print money. But we can't do this.
Therefore, this figure is scary. The debt burden is growing relative to GDP. It is necessary not only to repay debts, but also the interest on servicing them. If we borrow more (and are already borrowing) at high rates, then next year it will be 11 or 12%. The financial history does not know such precedents; countries don’t live that long,” Savchenko said.
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