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Naftogaz in Kyiv
Photo: Str / dpa
The Ukrainian energy group Naftogaz is the country's first state institution to be unable to service its debts.
A statement said the cabinet had not given authorization to make the necessary payments for international borrowing.
The debtors have also not agreed to a proposal to suspend payments on certain bonds for two years.
Last Thursday, the Ukrainian government obliged the Naftogaz managers to obtain the approval of the Cabinet of Ministers for all processes "due to unsatisfactory work".
Naftogaz is one of the largest Ukrainian companies engaged in the extraction, processing and transportation of natural gas and oil.
Two other state-owned companies asked for a deferral of payments
With the road construction group Ukrawtodor and the electricity network operator Ukrenerho, two other state-owned companies have also asked for a payment delay of two years each.
"The state is now consolidating all available resources to meet priority needs," wrote Prime Minister Denys Schmyhal on the Telegram news service.
These are financing the army, preparing for the heating season, paying pensions and rebuilding critical infrastructure.
Schmyhal estimated the payment amounts due at the equivalent of a good 1.5 billion euros.
Kyiv expects a budget deficit of around 30 to 34 billion euros
As the dpa learned from Ukrainian government circles, a budget deficit of around 30 to 34 billion euros is expected there for the current year.
In the President's office, the equivalent of around 49 billion euros was recently mentioned.
Before the war broke out, Kyiv had planned total government spending equivalent to just 37 billion euros.
ani/dpa/Reuters
