The West recommended Naftogaz creditors to refuse to defer debt repayment

At the beginning of last week, Naftogaz turned to creditors with a request to defer debt payments for two years, which took bondholders by surprise. In the Ukrainian company, this request was explained by a lack of funds due to a Russian special operation, in connection with which many customers cannot pay their bills. Dechert experts don't think so.

“The advice is to vote no”, - said one of the investors, quoted by Reuters.

Thus, on July 19, Naftogaz will have to fully redeem one of the bonds ($335 million) and make interest payments on coupons. The consultants stressed that bondholders are not currently forming a steering committee, the source notes.

The appeal of Naftogaz increased investors' fears about the payment of sovereign debt by Ukraine. In particular, Kyiv must pay $1 billion in September. Lenders assume that the Ukrainian government will turn to the holders of sovereign bonds with a similar request.