KYIV, Aug 18 – Fitch Ratings has upgraded Ukraine's Long-Term Foreign-Currency (LTFC) Issuer Default Rating (IDR) to 'CC' from 'RD' (restricted default).

"The upgrade of Ukraine's LTFC IDR to 'CC' follows the execution of consent solicitation on 11 August to restructure external debt, which we deem constitutes completion of a distressed debt exchange (DDE), curing the 'restricted default," Fitch said in a report.

Fitch said that near $6 billion of principal and interest on Ukraine's Eurobonds has been deferred by 24 months, alleviating external debt servicing pressure, in the context of weakening international reserves and acute war-related spending needs.