Weakening public finances and implementation risks to the reform agenda drive the Outlook change. A large, diversified, and resilient economy; core euro area member status; a favourable debt profile; and excellent capital market access are strengths.

Euro area membership since 2023, favourable public debt trajectory and sound structural reform momentum support the ratings. High public debt levels, modest growth potential and limited economic diversification remain rating challenges.

Weakened medium-term growth prospects and deteriorated fiscal metrics drive the downgrade. A robust fiscal policy framework and favourable debt profile are key credit strenghts.

This periodic review has resulted in no rating action.

Strong capital base, excellent asset quality, very high liquidity buffers, growing strategic importance, and highly rated shareholders support the rating. High leverage is the key credit challenge.

Monitoring review announcement

Monitoring review announcement.

High and rising public debt and large financial imbalances in the context of slowing economic growth, drive the downgrade. A large and diversified economy, high external resilience and effective government control are key credit strengths.

The country's prolonged exposure to the cost-of-living crisis amid higher geopolitical risks and a weakening fiscal position drive the Outlook revision. Solid economic growth prospects and low public debt support the ratings.

Ukraine’s CC foreign-currency issuer ratings reflect expectation of debt treatment by 2024, for meeting the external financing gap. The revision of the Outlook on domestic debt to Stable reflects reduced likelihood of restructuring of domestic debt.