Fitch downgrades Ukraine’s ratings to B+

Fitch Ratings announced on Friday it downgraded Ukraine’s long-term foreign and local currency issuer default ratings (IDRs) to B+, from BB-. The outlooks on both IDRs remain negative. The agency has also downgraded the country ceiling to B+ from BB-. The revision reflected Fitch’s concerns about hryvnya depreciation, further stress on the banking system and damage to Ukraine’s real economy. Fitch took numerous other ratings actions: downgrading the city of Kyiv to long-term foreign and local currency ratings B+ from BB- (stable outlook), revising the outlooks on the ratings of the cities of Odesa and Kharkiv to negative from stable, and lowering Naftogaz of Ukraine’s long-term local and foreign currency IDRs to B from B+. The senior unsecured rating on Naftogaz’ USD 500 mln Eurobond maturing in 2009 was also revised to B+ from BB-.