Russia Not Considering Restructuring Ukraine's Debt

According to Russian Deputy Finance Minister, Russia will not consider reviewing the possible restructuring of Ukraine’s debt without an official request.

MOSCOW, February 24 (Sputnik) – Russia is currently not reviewing the possible restructuring of Ukraine’s debt because Moscow has not received any official requests, Russian Deputy Finance Minister Sergei Storchak said Tuesday.

“No, it’s not being considered. First, we need to receive an official request,” Storchak said.

Storchak said that once an official request was received, then Moscow would review it.

“There has been no official request. After one is received, we’ll review it: what it is, how and why, as well as how this will be reflected within the frameworks of extended financing,” Storchak added.

On February 10, Russian Finance Minister Anton Siluanov said that Kiev had asked Moscow to consider restructuring its $3-billion debt, but Russia was not ready to satisfy this request. The Ukrainian Ministry of Finance however denied approaching Russia with such a request.

In December 2013, Russia bought Ukraine's first Eurobonds worth $3 billion, promising a total of $15 billion in loans. However, Russia scrapped the plan after a new government came to power in Kiev following a February 2014 coup.

In January, Siluanov stated that Ukraine had breached the loan conditions, since Kiev's state debt had exceeded 60 percent of the country's gross domestic product, meaning that Russia now has the right to demand immediate repayment of the debt.