Russia Allows Nationals, Companies to Repay Debts to Foreigners in Rubles

MOSCOW (Sputnik) - The Russian government has temporarily allowed nationals and Russian entities to pay back their debts to foreign creditors from the list of hostile countries in rubles.

The move was decreed by President Vladimir Putin on Saturday in response to financial sanctions imposed on Russia by the West after it launched a military operation in neighboring Ukraine.

The government said that "Russian citizens and companies as well as the state, regions and municipalities that have obligations in foreign currencies to foreign creditors from the list of unfriendly nations can pay them back in rubles."

A debtor will need to transfer money in rubles equivalent to a special account created with a Russian bank in the name of a foreign lender. The procedure is reserved for payments of more than 10 million rubles.

All transactions involving nationals and companies from unfriendly countries will need the approval of the Russian government's Commission on Monitoring Foreign Investment.

The list of unfriendly nations includes Australia, Albania, Andorra, the United Kingdom, the European Union, Iceland, Canada, Liechtenstein, Micronesia, Monaco, New Zealand, Norway, South Korea, San Marino, North Macedonia, Singapore, the United States, Ukraine, Montenegro, Switzerland, Japan and China's Taiwan.