Ukraine completed its $20.5B Eurobond restructuring, reducing the national debt by $9B.

The restructuring process included the exchange of 13 series of government Eurobonds and one series of state-guaranteed Ukravtodor Eurobonds worth about $20.5B, approximately $24B including capitalized interest, for eight new series of Eurobonds with a nominal value of $15.2B.

Ukraine’s debt was reduced by about $9B. This means a nominal decrease in debt value by 37% from the first day of the agreement and a decrease in the net present value of the debt by about 60% (assuming a discount rate of 14%).

This is one of the largest debt write-offs in the recent restructuring of Ukraine’s sovereign debt. Debt payments are reduced by 93%, resulting in savings of $11.4B over the next three years. In addition, debt servicing and repayment costs will be reduced by 77% by 2033, saving a total of $22.8B. The deal is in line with the IMF’s debt sustainability program goals.