The financial situation is difficult, but there is no threat of default now, Ukraine's Minister of Finance Natalie Jaresko has assured in an interview with the Focus edition.

"We have not default and even not pre-default state. Today this issue is not even discussed in the government," she said.

At the same time, the finance minister stressed that Ukraine needs the urgent stabilization of the financial system, including the banking sector.

In addition, she reported she had asked the heads of other ministries to find reserves and reduce costs by 25%.

"All the funds released will be used to finance the priority goals. The first one of them is national security," the official said.