Russia Defaults On Foreign Debt For The First Time In 104 Years

OilPrice.com ^ | Jun 27, 2022 | City A.M

[BeauBo]

Russia has defaulted on its foreign debt obligations for the first time since the Bolshevik revolution in 1918.

Sanctions launched by an alliance of western nations in response to president Vladimir Putin’s invasion of Ukraine have hobbled the Kremlin’s access to its assets, meaning it has been unable to pay foreign investors.

Moscow missed a grace period deadline today on a $100m interest payment that was originally due on 27 May, tipping the country into default for the first time in over a century...

America’s Treasury department blocked Russia from making payments last May (out of sanctions frozen funds), effectively sealing its fate of falling into default.

Earlier this year, the world’s top rating agencies downgraded Russian debt to among the lowest wrongs on their debt safety ladder.

The efficacy of western sanctions hitting the Russian economy has been watered down by European countries continuing to send money to the country in exchange for Russian energy.

Persistently high demand for Russian gas has lifted the rouble after it initially plunged against the world’s leading currencies following Moscow’s invasion.

However, US president Joe Biden, UK prime minister Boris Johnson and other leaders of G7 countries over the weekend said they are pursuing a cap on Russian energy prices to curb revenues flowing into Moscow.

[BeauBo]

Russia was already mostly blocked from raising new funds in Western bond markets. Their credit rating will be lower for longer after this, even if sanctions are lifted tomorrow.

[Berlin_Freeper]

Russia will be easy pickings for China.
No one else is interested.
How ironic is that?

[EEGator]

They have plenty of money, the US is just not allowing it’s use.
Luckily the globalists pining for WWIII will make this issue meaningless.

[Macoozie]

They should just do what the US Goobermint does:

Print Mo Muh-neeeee.

1 Trillion dollar notes - like candy. Here ya go buddy . . .

Oh BTW, that’s only good outside the Ruskie States.
Maybe get a cup of coffee?

[Fido969]

They have plenty of money, the US is just not allowing it’s use.

Bingo. Oddly, you don't see that in the breathless story.

[EEGator]

It’s a Neocon circle jerk story.

[conserv8]

Sounds like they were prevented from making payment.

[kiryandil]

These clowns act like Russia is going to come crawling back the West like an abused wife who has no other choices.

Russia ends up with all the assets, and the idiots behind the Western Digital Curtain end up with the electronic debt.

Look at the Western investors who just got stiffed by their own governments.

[EEGator]

I asked earlier, who owns this “defaulted” debt?
Nobody gave a detailed explanation.

[mac_truck]

Let see what the courts say about this.

[nickcarraway]

They are already tight qith China. And considering Russia’s population is declining, there was always going to be A-day when they were easy pickings.

[ConservativeMind]

If you block the payment, it’s not a true default.

This is all for bizarre bragging right points around nothingness.

If a bank hired someone to kill a man with a mortgage with them, you’d have the same scenario. The man doesn’t pay on his mortgage, and the bank would take over the home.

[nickcarraway]

You promote war, so you are a neocon

[glimmerman70]

They are going to get sick of it.

[EEGator]

I do? What war?

[DouglasKC]

They have plenty of money, the US is just not allowing it’s use. Luckily the globalists pining for WWIII will make this issue meaningless.

Exactly..more propaganda....let's not let them pay and then say they're in default...

[Wallace T.]

Russia would not have invaded Ukraine had China not given its blessing, as evidenced by the joint Putin-Xi statement at the February Winter Olympics. There is a real axis of evil between China and junior partners Russia and Iran. The Chinese Belt and Road Initiative has used financial inducements in Asia and Africa. Most of these nations have decided not to back the NATO sanctions due to increasing ties with China. Don't forget that Russia and China have strong relationships with leftist regimes in our hemisphere, e.g. Cuba, Venezuela, and Nicaragua. Nicaraguan strongman Daniel Ortega has permitted Russian troops to be stationed in his country.

While Russia may have stumbled in Ukraine. the long game, with China in the lead, is to end American and NATO hegemony worldwide.

[OHPatriot]

Yep, at this point Who Cares? Let Europe figure this out.

[CarolinaReaganFan]

it is a farce to consider this default.
They refused to allow payment.
.
its prolly timed to deflect from the uke collapse occurring in the DPL.
.
According to the first reports from the front lines, Russian-led forces took control of the town of Volcheyarovka on June 26. The town is the strategically important area in the Severodonetsk-Lisichansk metropolitan region.

Russian military positions in the town allow to establish fire control over the Lisichansk-Seversk road which is the last one used by the Armed Forces of Ukraine for military supply to their positions.

The group of the Armed Forces of Ukraine has lost the possibility of withdrawing the remaining forces from Lisichansk. Russian-allied forces have established military positions on the heights in the town and now the Seversk-Lisichansk highway is under full fire control of the artillery of the Russian Federation.

According to the reports from the spot, Russian control was established after fierce clashes. Judging by the footage from the spot, the AFU suffered heavy losses in the area.
.
Today was more huge advances. the L-chansk oil refinery is partly captured and surrounded on three sides. Russians are now fighting west of the refinery in two villages along the Siversk/L-chansk Road....
.
DPA just updated about an hour ago
https://www.youtube.com/watch?v=aIfymv0tSAE

[laplata]

I asked earlier, who owns this “defaulted” debt?
Nobody gave a detailed explanation.

><><><

That’s a very good question.