Arab Today, arab today russia to sue ukraine over default on 3bn debt
Last Updated : GMT 21:50:13
Arab Today, arab today
Arab Today, arab today

Russia to sue Ukraine over default on $3bn debt

Arab Today, arab today

Arab Today, arab today Russia to sue Ukraine over default on $3bn debt

Russia is suing Ukraine for $3 bn it says it lent to Viktor Yanukovych
Moscow - AFP

Russia's finance ministry said Friday it was suing Ukraine for defaulting on a $3-billion debt to Moscow, following an order by President Vladimir Putin.

Kiev is "in a state of default" regarding its obligations toward Moscow and legal proceedings would ensue, the ministry said.

"Russia's finance ministry (...) has initiated procedures required for an immediate lawsuit against Ukraine," the statement said, adding that the lawsuit would be heard in a British court.

Ukraine announced last month it would not make the payment on its debt to Moscow after Putin vowed to sue Kiev if it failed to pay by the end of 2015.

The debt stems back to 2013 when Russia loaned $3 billion to the Kremlin-backed president Viktor Yanukovych, before pro-European protests that led to his downfall.

Ukrainian authorities say it is not a sovereign loan by one state to another but rather a transaction made via the financial markets that is subject to terms agreed with other creditors.
Kiev reached a restructuring deal in August with its private creditors, including major banks and investment funds, which agreed to reduce their claims by 20 percent.

Moscow however maintains that the loan cannot be considered private debt and has refused such conditions.

The Russian government instead offered to spread out the payment over three years, an offer Kiev rejected.

"Ukraine preferred defaulting on its debt obligations to holding honest negotiations," the finance ministry said, adding that the legal proceedings "do not preclude constructive dialogue to reach an acceptable settlement of the debt."

The dispute has been hampering the International Monetary Fund's $17.5-billion rescue plan for Ukraine, which restricts Kiev's ability to restructure billions of dollars in debt.

The Ukrainian parliament last week adopted its 2016 budget with a deficit of 3.7 percent of GDP, a crucial step for unlocking much-needed aid from the IMF and Western countries.

 

arabstoday
arabstoday

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today russia to sue ukraine over default on 3bn debt Arab Today, arab today russia to sue ukraine over default on 3bn debt

 



Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today russia to sue ukraine over default on 3bn debt Arab Today, arab today russia to sue ukraine over default on 3bn debt

 



Arab Today, arab today France defies terrorism through tourism

GMT 15:18 2017 Saturday ,20 May

France defies terrorism through tourism
Arab Today, arab today How to do your own Ramadan corner?

GMT 15:53 2017 Saturday ,27 May

How to do your own Ramadan corner?
View News in Arabic - Business: اقتصاد دولي
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday