Ukraine plans to restructure the loan of the State Food and Grain Corporation of Ukraine

The government plans to restructure the loan of the State Agricultural Bank of Ukraine, attracted in 2012 under state guarantees from the Export-Import Bank of China.

This was reported by People’s Deputy Yaroslav Zheleznyak, referring to the draft amendments to the 2025 state budget.

“The Cabinet of Ministers will ask the Verkhovna Rada of Ukraine to grant it the right to temporarily stop payments on this loan, the repayment date of which falls on 2030,” the document states.

The government expects that this will allow it to negotiate with the Chinese bank on new, more favorable terms for repaying the debt.

Recall that in 2012, the State Agricultural Bank of Ukraine agreed with the Export-Import Bank of China on a loan of $1.5 billion for the purchase of grain for export under trade agreements with the PRC. It was planned that later the Chinese side would allocate another $1.5 billion for irrigation projects and the development of grain logistics. But due to the financial insolvency of the State Food and Grain Corporation of Ukraine, the obligation to repay the loan fell on the state, which was its guarantor.

The Cabinet of Ministers took similar measures in 2024 during the restructuring of government Eurobonds, Ukrenergo Eurobonds, and Cargill loans.

USM previously reported that the Cabinet of Ministers had appointed an interim head of the State Food and Grain Corporation of Ukraine.