https://sputnikglobe.com/20220410/russia-to-go-to-court-if-west-tries-to-move-it-into-default-finance-minister-says-1094656112.html
'We Will Sue': Russia Will Go to Court if West Tries to Move It Into Default - Finance Minister
'We Will Sue': Russia Will Go to Court if West Tries to Move It Into Default - Finance Minister
Sputnik International
MOSCOW (Sputnik) - Russia is ready to prove in court that it has done everything possible to fulfill its obligations to foreign investors on its Eurobonds if... 10.04.2022, Sputnik International
2022-04-10T23:20+0000
2022-04-10T23:20+0000
2022-04-10T23:43+0000
russia
financial risks
finance
minister
anton siluanov
technical default
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"Of course, we will sue, because we have taken all the necessary steps to ensure that investors receive their payments. We will present our payments in court, confirming our efforts to pay both in foreign currency and in rubles," Siluanov said in an interview with the Izvestia newspaper.He added that Russia has changed its budget policy, and all revenues that go to the budget, including oil and gas, are now a source for repaying obligations, both internal and external.Siluanov, however, admitted that if the case goes to court, it will not be an easy process to win. He pointed out that Russia would have to "very actively prove our case."At the same time, he added that the default would be a blow to the country's image as a reliable borrower, so the West will try its best to push it through.According to the Finance Minister, Russia’s total state debt stands at about 21 trillion rubles ($261.7 billion), of which about 4.5-4.7 trillion rubles are external obligations.Western countries have imposed a series of tough anti-Russian sanctions in response to Moscow's special operation in Ukraine. Among other things, new sanctions have limited the ability of the Russian Central Bank to use gold and foreign exchange reserves in foreign currency.The blocking of reserves, in particular, did not allow the Ministry of Finance to fulfill obligations on Eurobonds in foreign currency on April 6. The payment did not go through due to the refusal of the foreign agent bank to execute the issuer's order in foreign currency, and as a result, the Ministry of Finance made a payment to foreign holders of securities in rubles.Investors will be able to convert them into foreign currency immediately after Russia regains access to frozen foreign currency accounts, according to officials.
https://sputnikglobe.com/20220410/russia-has-been-fulfilling-its-foreign-debt-obligations-finance-minister-says-1094652656.html
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financial risks, finance, minister, anton siluanov, technical default
financial risks, finance, minister, anton siluanov, technical default
'We Will Sue': Russia Will Go to Court if West Tries to Move It Into Default - Finance Minister
23:20 GMT 10.04.2022 (Updated: 23:43 GMT 10.04.2022) MOSCOW (Sputnik) - Russia is ready to prove in court that it has done everything possible to fulfill its obligations to foreign investors on its Eurobonds if the West tries to declare Russia in default, Russian Finance Minister Anton Siluanov said.
"Of course, we will sue, because we have taken all the necessary steps to ensure that investors receive their payments. We will present our payments in court, confirming our efforts to pay both in foreign currency and in rubles," Siluanov said in an interview with the Izvestia newspaper.
He added that Russia
has changed its budget policy, and all revenues that go to the budget, including oil and gas, are now a source for repaying obligations, both internal and external.
"This year, we do not plan to enter the domestic [lending] market or foreign [lending] markets," Siluanov said.
Siluanov, however, admitted that if the case goes to court, it will not be an easy process to win. He pointed out that Russia would have to "very actively prove our case."
"The current crisis has shown that all the basic Western foundations based on democracy, the inviolability of private property and other Western values are collapsing, so we also question the objectivity of their judicial system," the minister said.
At the same time, he added that the default would be a blow to the country's image as a reliable borrower, so the West will try its best to push it through.
According to the Finance Minister, Russia’s total state debt stands at about 21 trillion rubles ($261.7 billion), of which about 4.5-4.7 trillion rubles are external obligations.
Western countries have imposed a series of tough anti-Russian sanctions in response to Moscow's special operation in Ukraine. Among other things, new sanctions have limited the ability of the Russian Central Bank to use gold and foreign exchange reserves in foreign currency.
The blocking of reserves, in particular, did not allow the Ministry of Finance to fulfill obligations on Eurobonds in foreign currency on April 6. The payment did not go through due to the refusal of the foreign agent bank to execute the issuer's order in foreign currency, and as a result, the Ministry of Finance made a payment to foreign holders of securities in rubles.
Investors will be able to convert them into foreign currency immediately after Russia regains access to frozen foreign currency accounts, according to officials.
