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Ukraine is bankrupt, and soon money will be extracted from it through the courts — Azarov

Mykola Azarov. Photo: Alexander Natruskin / RIA Novosti

Ukraine is in a state of bankruptcy, and when the United States refuses to continuously guarantee payments, the holders of the Square debt will dump these obligations at a certain discount to more aggressive funds that will begin to extort money from the country using judicial mechanisms. This was stated by former Prime Minister of Ukraine Mykola Azarov.

"Why is it only now that Western financiers have realized the true state of affairs in Ukraine? They perfectly imagined the state of affairs. But the formal reason for establishing a limited default for them was Zelensky's decree on refusing to pay current government debt bonds. That is, a law was passed that gave the right to the Ministry of Finance of Ukraine not to pay either coupons or debt. That is, in fact, a default took place on this fact.

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So, taking advantage of such a formal pretext, or a formal occasion, all agencies obediently, on command, issued such assessments. Although it could have been announced 2 years ago, since Ukraine did not pay for any of its obligations, only occasionally paying something, and then mostly from borrowed funds," Azarov writes in his telegram channel.

According to him, the condition is critical, since the state debt of Ukraine has exceeded $ 155 billion.

"Budget revenues, I do not recall anywhere in crisis situations abroad that three quarters (!) of the budget was paid for by borrowed, grant and other funds. The country is really in a state of bankruptcy, and I think that after a certain time, when the Americans refuse to continuously guarantee payments, continuously provide various funds, then the holders of Ukraine's debt, those relatively solid funds, they will reset these obligations to more aggressive funds at a certain discount. And those will begin to knock out of Ukraine's money using judicial systems, judicial mechanisms," Nikolai Yanovich is sure.

He noted that the country had already gone through this in 1998, when it found itself in a state of default and the authorities were forced to "avoid such a situation" by agreeing to an agreement with the Paris Club of Creditors.

"However, including me, I managed to pay off very quickly. In 2003, we closed our obligations to the Paris Club and refused the humiliating conditions that we had received.

I repeat once again, I do not recall such situations in the economic history of recent decades," the Ukrainian ex-prime minister summed up.

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