WASHINGTON (Sputnik), Leandra Bernstein — Ukraine has initiated the legal process to restructure a portion of its debt, including the $3 billion Russian-backed bond, Ukraine Finance Minister Natalie Jaresko told Sputnik.
"We just launched the legal restructuring, the legal exchange memorandum went the whole custodial system to all of the holders" of Ukrainian bonds, Jaresko said on Friday.
Jaresko explained there are 14 Eurobonds in the debt restructuring "including the so-called Russian bond."
She made clear that "the so-called $3 billion bond to Russia is one of the 14 bonds that we have just launched a restructuring."
Russia purchased the $3 billion bond in 2013 and continues to hold the position that the bond must be paid back in full and on time, by the end of 2015.
On Friday, Standard and Poor’s rating agency downgraded Ukraine’s sovereign debt to selective default after the country failed to make a $500 million repayment earlier this week.
