Standard & Poor's Ratings Services said today it assigned its 'BB-' senior unsecured debt rating to the upcoming $1 billion Eurobond to be issued by Ukraine (foreign currency BB-/Stable/B; local currency BB/Stable/B), which will mature in 2016.

"The ratings on Ukraine are supported by a strong general government balance sheet, solid growth prospects over the medium term, and a relatively low external debt burden," said Standard & Poor's credit analyst Moritz Kraemer.

Despite a drawn-out political crisis following the March 2006 elections and the doubling of natural gas import prices earlier in the year, the Ukrainian economy has outperformed expectations.