RUSSIA is BROKE ! Could not pay Interest payments of foreign loans !

Russia was due to pay in May and payment was not made, they got 30 days to pay interest payment yesterday but were not able to.
They said they will pay it in rubles.. but are rubles really considerable currency to rest of the World ? No No No...

Russia on the brink of historic debt default as payment period expires

Russia could be entering its first major foreign debt default for over a century, after a grace period on two international bond payments lapsed on Sunday night.

Interest payments totaling $100 million were due on May 27 and subject to a grace period which expired on Sunday night. Several media outlets have reported that bondholders have not yet received the payments, after Russia’s attempts to pay in its ruble currency were blocked by international sanctions.

Sweeping sanctions imposed by Western powers in response to Russia’s unprovoked invasion of Ukraine, along with countermeasures from Moscow, have effectively ostracized the country from the global financial system, but so far the Kremlin has managed to find ways to get payments to bondholders on multiple occasions.

LINK

Russia can keep its rubles..

a reply to: dollukka

The Mainstream News Media had made many many articles about Russia failing or collapsing for a year now..
dont believe any claims they claim about it.

Remember when they claimed that Russia would fall due tot he sanctions? how is that working out? seems to me Europe is the falling.

I wonder whats the next headline?

a reply to: dollukka

but are rubles really considerable currency to rest of the World ? No No No...

You do realize Russia part of BRICS right? an organization that is much bigger than the G7 nations.

a reply to: dollukka
A bit amusing line from the article which alot of propagandist from the MSM outlets seem to be forgetting.

Sweeping sanctions imposed by Western powers in response to Russia’s unprovoked invasion of Ukraine, along with countermeasures from Moscow

The so called sweeping sanctions imposed by Western powers is actually hurting Europeans more.
And it shows by the high food coasts due to the fertilizers being unable to be send.

a reply to: dollukka

Russia can keep its rubles..

The US isn't far from collapsing on its trillion of debt.
Its a given why they want the war in Ukraine to last.

a reply to: vNex92

Pay your debts then.. you had time and you were 30 days late and could not do it .

a reply to: dollukka

Has the US paid its debt yet? all i see are 30 Trillions in red and still climbing and it appears the Biden admin has done nothing to climb it down...
Compared to the rest of the world.

Russia has little debt compared to the US.

Greece as a example is still struggling to pay its debt to the EU if they would at all this current rate.
The national debt is big and getting bigger. Does it matter?

originally posted by: dollukka
a reply to: vNex92

Pay your debts then.. you had time and you were 30 days late and could not do it .

The USA has had time to pay off its debt too but it hasn’t .

The Ministry of Finance of Russia has fully fulfilled its obligations to pay coupon income on Eurobonds in accordance with Decree of the President of the Russian Federation dated June 22, 2022 No. 394

24.06.2022 13:41

The Ministry of Finance of Russia informs that in accordance with the Decree of the President of the Russian Federation dated June 22, 2022 No. 394 “On the temporary procedure for the execution of government debt obligations of the Russian Federation to residents and foreign creditors, denominated in government securities, the nominal value of which is indicated in foreign currency” funds for the payment of coupon income on bonds of external bonded loans of the Russian Federation maturing in 2028 (ISIN XS0088543193, US78307AAE38) in the amount of 8.5 billion rubles. (the equivalent of USD 159.4 million) were received by the paying agent for Eurobonds (NCO JSC National Settlement Depository).

Thus, the obligations to service government securities of the Russian Federation have been fulfilled by the Russian Ministry of Finance in full.

minfin.gov.ru/ru/press-center/?id_4=38004-minfin_rossii_v_polnom_obeme_ispolnil_obyazatelstva_po_vyplate_kuponnogo_dokhoda_po_yevroobligatsiyam_v_soot vetstvii_s_ukazom_prezidenta_rossiiskoi_federatsii_ot_22_iyunya

They have the money but western bank sanctions mean payment processing procedures have been halted.

So it is basically not a default, they have been stopped from paying by the receivers.

originally posted by: vNex92
a reply to: dollukka

Has the US paid its debt yet? all i see are 30 Trillions in red and still climbing and it appears the Biden admin has done nothing to climb it down...
Compared to the rest of the world.

Russia has little debt compared to the US.

Greece as a example is still struggling to pay its debt to the EU if they would at all this current rate.
The national debt is big and getting bigger. Does it matter?

The U.S. is not defaulting though, it is servicing the debt.. thats the difference. Are debts high in North America..hell ya! but payments are made on schedule.

I thought the reason behind the default is that sanctions forbid using the banks' clearinghouse to process payments.
Russia is NOT broke, and the ruble has performed extremely well since sanctions started

a reply to: turretless

Are you been lied to ?

originally posted by: acackohfcc
I thought the reason behind the default is that sanctions forbid using the banks' clearinghouse to process payments.
Russia is NOT broke, and the ruble has performed extremely well since sanctions started

Where has the ruble performed well?

You don't have a link.
Russia's debt total is apparently currently around 410.28 billion equivalent in U.S. dollars.
Link
Which is chicken feed compared to the US debt which is .....

The current U.S. debt is $23.3 trillions as of February 2020.

US debt clock
I would like to know who Russia actually owes money to.
Hmmmm... here's a piece by the NY Times from March. It would appear the sanctions imposed on Russia (which means for example its dollar and euro) are frozen, so they can't repay in that agreed currency. They have offered Rubel's back in March and that has been rejected.
Link to NY Times, plenty of others available
Seems to me the West is making Russia default 'by design'.
Oh look!...

How much debt is Russian in?
In total, the Russian government owes about $20 billion worth of bonds, mostly in dollars, and it owes about $500 million in interest payments over the next month, according to Gerard DiPippo, a senior fellow with the economics program at the Center for Strategic and International Studies.

So the national debt of Russia has gone down???
US pushes Russia towards default
If I owed my enemy money, I'm pretty sure I wouldn't be too worried about helping them out with their huge and ever growing debt, particularly if my payments in their currency are rejected and then further rejected when I offer my own currency.
Next.....

a reply to: vonclod
On the world finance stage.
Here you go...

The ruble resumed its advance against the dollar on Wednesday as the Moscow Exchange reopened after two days of public holiday. It’s now up more than 11% against the US dollar since the start of the year, surpassing the real’s 9% advance to become the top gainer among 31 major currencies tracked by Bloomberg. The offshore rate is up even more, about 12%.

More at this Bloomberg link, others are also available

originally posted by: dollukka
a reply to: turretless

Are you been lied to ?

I just put myself in the place of a creditor.

I, as a creditor of Russia, can get my money if:

1) Russia will send money;
2) Western payment system will lead them to my bank accounts.

And what do I see now?

1) Russia is trying by all available means to send me money;
2) Western payment systems prevent Russian money from being transferred to my accounts.

Which of them do you think I, as a creditor, will consider an unreliable partner?

a reply to: dollukka

It suits Russia to do this right now.

They want to use Rubles to pay they say, but there is no way they can do that with the way they have been blocked by the West. The West is doing all it can to ruin the Ruble for obvious reasons.

Also, Russia are not likely to bother with any debts to the West as the relationship has broken down so much it is on a war footing. All debts are annulled in love and war! I think this default is a deliberate Russian protest thing too. It will make states distrust them for a long time in the future if they can't be trusted as trade partners. They are character assassinating themselves by doing this for an awful long time.

Vlad has really dug himself deep into the trenches, may be up to the depth of 6 feet though. I expect his could be the kind of funeral that mobsters get when they mess up. He was a fool to let himself be triggered by the West. They were deliberately trying to trigger him. He really has played into their hands. They were and are prepared.

I wrote this a long time ago that whenevr the West feels truly threatened they quickly form a collective that even makes China a smaller warrior. There is no main and ultimate target to hit to paralyse the West. They are in Alaska and Australia. Even messing with the free market can't hurt too much. We had a very well functioning free market before we let China or Russia anywhere near it. Now we are just going back to that success. It was actually more of a success without Russia and China.

Since we let China in it has destroyed Western industry, access to raw materials and made us lazy about training our own people with skills. It turned us from innovators into followers. China was trying to get us dependent on them the same way Russia was with fuel. It hasn't worked.

Both China and Russia are going to lose their ability to expand their economies. The West will not. We will just strengthen ties. Our diversity of sources and resources and our fairer systems will see us through. It will inspire us to go out looking for and exploring new options and state relationships. It will bring some of what needs to be brought home back home.

Yeah, a few rising expenses, even a little recession for a while may be, but people value freedom the most in the West and will take a bit of punishment if in the long term it brings more security, especially economic security.

Our mission now in the West, while Russia and China are behaving like this, is to make a successful free market that can thrive without China and Russia. We need to make a good carrot to hang on a stick in front of them so they may see things in a more democratic and friendly light and know that future economic success and global access depends on more democratic and trustworthy behaviour. Trade and economy does not work when it is based on threats and blackmail. A little bribery for the right reasons is not abuse and we can't be perfect right now because of the challenges we are faced with handling these two dictatorship states that are behaving so aggressively and not in the global spirit of mutual cooperation.

No one is claiming that the United States isn't paying their debt.

Yes, our national debt is enormous. But we seem to be able to pay the bills and we seem to still have good credit.

Putin has done more to strengthen NATO than anyone else in the last four decades. He has shown how weak his military really is, and what a poor leader he has become. Russia is weak, and without nukes, I believe Ukraine could have taken over Russia.

a reply to: vNex92

originally posted by: vNex92
You do realize Russia part of BRICS right? an organization that is much bigger than the G7 nations.

No its not. Brazil, Russia, China, India and S. Africa.

Not sure why your pushing false information.