Russia

Russia Can Now Use Rubles to Fulfill Guarantees Provided in Foreign Currency

MOSCOW (Sputnik) - Russian President Vladimir Putin has introduced a temporary procedure for fulfilling state guarantees provided in foreign currency, allowing them to be paid in rubles even without the consent of the beneficiaries, according to a decree published on Wednesday.
Sputnik
"Establish that the fulfillment of obligations of the Russian Federation (the guarantor) state pertaining to guarantees that are provided in foreign currency ... to beneficiaries who are Russian and foreign legal entities and individuals, international financial organizations, is carried out with consideration of the specifics provided by this decree," the document read.
Russia
Putin Approves Special Procedure for Payments in Rubles, Foreign Currency for Agri-Exports
According to the document, Russia will fulfill its obligations in rubles if requested by a beneficiary. However, even in the absence of such a request, Russia may pay a beneficiary in rubles if it is impossible for it to fulfill its obligations in foreign currency. The money is then transferred to an account opened at the request of the Russian Finance Ministry with an organization that acts as the Russian government's agent in matters of providing state guarantees. Currently, this is Russian state corporation VEB.RF.
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