Following months of difficult negotiations Ukraine has finally managed to agree on a debt restructuring deal with its creditors. But the deal itself is too small to make much of a dent in Ukraine’s debt-to-GDP ratio. What Ukraine really needs in order to get out of its debt problem is to get its economy growing. And although the recent impressive reform progress and the massive support of international financial institutions are encouraging, the risks to the outlook are still huge, which makes it hard to be optimistic.
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