Ukraine to seek debt payment freeze as war ravages economy

Police officers look at a bus stop, a mosque and buildings damaged by a Russian military strike, as Russia's invasion of Ukraine continues, in Kharkiv, Ukraine July 20, 2022. REUTERS/Nacho Doce

KYIV/LONDON (Reuters) - Ukraine will ask international bondholders to agree to a 2-year delay on its debt payments so it can focus its dwindling financial resources on repelling Russia, a government resolution published on Wednesday showed.

Facing an estimated 35-45% crash in GDP this year following Moscow's invasion in February, lawmakers have instructed the country's finance ministry to negotiate the deferral on its roughly $20 billion of debt by August 15.