Russia is expected to fail to pay interest on bonds held by foreign investors for the first time since the 1998 local crisis.
Holders of Russian government bonds for 2024 and denominated in rubles were due to receive this Thursday (3) a coupon that expired yesterday.
Investors in Europe who bought the bond said they had not received any notification that payment would be arranged.
The Russian National Settlement Depository reported that the Ministry of Finance sent the interest payment as usual.
Under normal circumstances, the agency would transfer the amount to the investors’ accounts with payment scheduled for the following day.
However, in light of Moscow’s retaliation for sanctions imposed by the West over the invasion of Ukraine by Russian forces, the money is blocked, creating the conditions for Russia’s first default in more than two decades.
This week, the Russian central bank barred depositaries and notaries from making payments to foreign customers.
The last time Russia failed to honor a bonus payment was in August 1998.
Source: Dow Jones Newswires.
Source: CNN Brasil
I am Sophia william, author of World Stock Market. I have a degree in journalism from the University of Missouri and I have worked as a reporter for several news websites. I have a passion for writing and informing people about the latest news and events happening in the world. I strive to be accurate and unbiased in my reporting, and I hope to provide readers with valuable information that they can use to make informed decisions.
