Credit derivatives committee to meet over Ukraine again on Friday

LONDON (Reuters) – The Credit Derivatives Determinations Committee (CDDC) set to decide whether Ukraine’s debt payment freeze deal this month justifies payouts of default insurance polices will meet again on Friday it has said.

The committee, which is made up of banks and investment firms that bought and sold the Credit Default Swap (CDS) contracts used by investors to hedge risk had met for the first time on Wednesday.

The country’s international creditors last week backed Kyiv’s request for a two-year freeze on almost $20 billion of its sovereign debt.

There are just over $220 million worth of CDS contracts linked to Ukraine’s debt, according to Depository Trust & Clearing Corporation (DTCC) data.

(Reporting by Jorgelina do Rosario; editing by Marc Jones)