U.S. signs $1 bn loan guarantee for Ukraine

The United States signed Monday its second $1 billion loan guarantee deal for Ukraine aimed at helping the crisis-wracked country surmount a Russia-backed insurgency and rebuild its tattered economy. The U.S. loan guarantee agreement is part of a $7.5 billion package of support for Ukraine over the coming year from its bilateral and multilateral partners, the Ukrainian finance ministry said.

On behalf of my government and the people of Ukraine, I want to offer our sincere thanks to the United States for their continued and unwavering support.

Ukraine finance minister Natalie Jaresko

With the US guarantee, market participants will view the risk of Ukrainian Eurobonds at the high credit rating of US sovereign debt. U.S. Treasurer Secretary Jacob Lew said that the $1 billion loan guarantee underscores Washington’s continued support for the economic reform agenda of the Ukrainian government of President Petro Poroshenko.

Politics