Kiev Recognized Default on $3Bln Debt to Moscow, Court Action Imminent

With the announcement of the moratorium on repayment of a $3 billion debt to Russia, the Ukrainian side has practically recognized its default on repayment of a sovereign debt, according to Kremlin spokesman Dmitry Peskov.

 By announcing moratorium on repayment of a $3 billion sovereign debt to Russia, Ukraine has officially recognized its default and leaves Moscow with no option but to file a lawsuit in an international court, Kremlin spokesman Dmitry Peskov said Friday.

"With the announcement of the moratorium, the Ukrainian side has practically recognized its default on repayment of a sovereign debt," Peskov told reporters in Moscow.

"Only prospects of court action are remaining," he added.

Ukraine owes Russia $3 billion in Eurobonds. The debt was secured by the government of then-President Viktor Yanukovych in late 2013.

Ukrainian Prime Minister Arseniy Yatsenyuk said earlier on Friday that the government introduced a moratorium on the repayment of Ukraine's $3-billion loan to Russia and was ready to go to court over the matter.
  (Sputnik) 
18/12/15
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