KIEV (Reuters) - Ukraine's Finance Ministry said on Friday a debt restructuring offer from its biggest group of creditors was unacceptable and bondholders should do more to reach a deal.
Kiev and a creditors' committee led by Franklin Templeton had earlier held a teleconference aimed at reaching a deal that would enable Ukraine to meet targets attached to a $40 billion (£26.1 billion) International Monetary Fund-led bailout package.
"The Committee's proposal to offload their sovereign claims into the books of the National Bank of Ukraine is unacceptable as it assumes using the National Bank of Ukraine's reserves, in clear violation of Ukrainian law," the ministry said in a statement.
Kiev has been seeking a writedown of part of the debt.
Earlier on Friday, creditors expressed disappointment that no basis had been found for detailed negotiations.
"The Minister (Natalia Yaresko) expressed a willingness to meet directly with the creditors and encourages the Committee to remove artificial and counterproductive barriers to more constructive dialogue," the statement said.
(Reporting by Alessandra Prentice; Editing by Ruth Pitchford)
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