June 23 (Reuters) - Global ratings agency Fitch affirmed Ukraine's credit rating at "CC" on Friday, supported by expectations for a further restructuring of its external debt.
"The affirmation .... reflects Fitch's expectation of a further commercial debt restructuring before the two-year standstill on Eurobond payments expires in September 2024," the ratings agency said in a statement.
In August last year, Ukraine's overseas creditors backed the country's request for a two-year freeze on payments on almost $20 billion in international bonds, which would allow it to avoid a messy debt default.
Fitch typically does not assign outlooks for sovereigns with a rating of "CCC+" or below, the agency said.
Foreign aid is set to remain of critical importance to Ukraine's financial stability and economy.
Ukraine suffered its sharpest economic decline in more than 30 years in 2022 because of the war, but the European nation's economic decline slowed in late 2022 after Russia's retreat from some of its southern areas. (Reporting by Shanima A in Bengaluru; Editing by Maju Samuel and Devika Syamnath)
