MOSCOW, March 14 (RIA Novosti) – Russia will wait at least until after Ukraine’s presidential election on May 25 to discuss continued payments under a $15 billion loan agreement signed with the country last year, a senior official said Friday.
The first $3 billion tranche of the plan was paid in December, but Moscow halted further payments due to what it called an unclear political situation in the country following the ouster of President Viktor Yanukovych on February 22.
“As for the remaining $12 billion, we will discuss it with the Ukrainian government when we see a legitimate partner, at least after the elections,” said Alexei Ulyukayev, the country’s Economic Development minister.
Ulyukayev added that the $3 billion already disbursed cannot be reclaimed, but that Russia could sell the bonds if a buyer could be found.
The $15 billion Eurobond loan agreement last fall was seen at the time as a political coup by Moscow in defusing tensions in Ukraine and cementing ties with the country following Yanukovych’s step back from pursuing an association agreement with the European Union.
But ongoing protests continued to rock the country, eventually leading to a parliamentary vote to oust Yanukovych, throwing the loan agreement and Ukraine’s fiscal future into doubt.
Earlier this month, the EU announced a $15 billion bailout package for the crisis-hit country, following a $1 billion emergency loan agreement from the US.
Russian President Vladimir Putin said earlier this month that Moscow is ready to consider giving Ukraine the next tranche, adding that Western countries have requested instead that further aid for the country must come via the International Monetary Fund.
