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The Kremlin rejected the message about the default of the Russian Federation

Russia has fulfilled its obligations under Eurobonds, and the fact that funds did not reach recipients due to sanctions is not its problem, Vladimir Putin’s spokesman stressed.

The authorities of the Russian Federation do not agree with the information about the emergence of a default on foreign currency debt obligations in the country. This was reported on June 27 by the Interfax agency in connection with the press secretary of the Russian leader Dmitry Peskov.

“The allegations of a default are completely unreasonable, because in May the required payment in foreign currency was made. The fact that these funds were withheld and not delivered to the recipients is no longer our problem,” he said. Vladimir Putin’s spokesman at a briefing.

Peskov stressed that “in this case, there is no reason to call this situation as default.”

Earlier, Bloomberg reported that Russia had defaulted on sovereign debt, because on Sunday, June 26, the extended period for repaying approximately 100 million payments on government bonds issued in dollars had -expire.

Recall that on May 27, the Russian Federation had to pay on Eurobond issues, but on May 25, the OFAC license expired, allowing transactions required to receive payments on the securities, and the U.S. Treasury has warned that it will not renew it.

Considering the current situation, on May 20, the Ministry of Finance of the Russian Federation transferred funds for the service of debt securities, however, payments were “stuck” due to penalties and did not reach the holding.

Thus, Russia found itself in a state of default.

Default – failure to fulfill the obligations of the debtor to repay the debt. A government default lowers its credit ratings, after which it becomes difficult or impossible for the country to raise new loans.

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Source: korrespondent

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