(MENAFN) Russia has denied reports that it has defaulted on its foreign debt for the first time in more than a century, directing investors to Western financial institutions for the funds that Moscow claims were transferred but bondholders did not get.
Russia has defaulted on its international bonds for the first time since the Bolshevik revolution, according to the White House, as broad sanctions imposed as part of Moscow's assault on Ukraine have virtually shut the country off from the global financial system.
“Statements of a default are absolutely unjustified,” Kremlin representative, Dmitry Peskov, informed reporters on Monday, highlighting a forex coupon payment in May.
“The fact that Euroclear withheld this money and did not bring it to the recipients is not our problem. There are absolutely no grounds to call such a situation a default,” he added.
Euroclear did not reply quickly to a request for comment.
Until last week, Russia continued to make foreign currency payments on its Eurobonds, but their May dollar and euro coupon transfers did not reach investors. Moscow owes USD100 million in interest on two bonds, one in dollars and one in euros, which were originally due on May 27.
MENAFN27062022000045011137ID1104440610
Legal Disclaimer:
MENAFN provides the information “as is” without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the provider above.