02:15 GMT +321 June 2019
Listen Live
    Finance Minister Natalia Yaresko (L) and Ukrainian Prime Minister Arseny Yatsenyk (R) prepare to present the draft of the new state budget during the parliament hearing in Kiev on December 17, 2015

    Cash on the Nail: Russia Has 'All Chances' to Win Ukraine Debt Case

    © AFP 2019 /
    World
    Get short URL
    14344

    Ukraine will be unable to find any legal way to avoid paying its hefty debt to Russia, and Kiev's decision to sue Moscow is fraught with serious economic consequences, according to the German news network Deutsche Welle.

    Kiev plucked up its courage and announced that it was ready to sue Moscow over its 3-billion-dollar sovereign debt, although Russia will almost certainly win any possible dispute, the German news network Deutsche Welle (DW) reported.

    DW quoted Michael Waibel, professor of international law at Cambridge University, as saying that are no factors, including Crimea's reintegration into Russia, to help Ukraine win the case.

    "The current conflict is all about repaying the debt, and I doubt whether other factors can influence the court's decision", Waibel said.

    He was echoed by Vasilij Izkow of the investment company Horizon Capital, who said that neither the support of international organizations, including the International Monetary Fund, nor any additional tricks will help Kiev get the better of Moscow in court. 

    "Russia has all chances to win the case. This is not a commercial debt and Russia has every right and all chances to get its money back. For Ukraine, there is virtually no legal way to avoid paying the debt," Izjkow said.

    Earlier this week, the Russian Finance Ministry said that Ukraine had defaulted on repayment of its 3-billion-dollar sovereign debt to Russia by missing the Monday deadline, but that Kiev still has a grace period until December 31 to fulfill its obligations.

    The Ukrainian government, in turn, imposed a moratorium on the payment of the debt, with Prime Minister Arseniy Yatsenyuk declaring the government's readiness to sue Russia over the matter. Russian Deputy Finance Minister Sergei Storchak, for his part, expressed confidence that in case of a trial, the court will decide in favor of Russia.

    Related:

    Ukraine's Foreign Debt in Facts and Details
    Ukraine's Yatsenyuk Faces Dismissal Pressure From Protesters, Poroshenko
    Ukraine to Become Gas Exporter in 10 Years - Yatsenyuk
    Ukraine's Yatsenyuk Manipulates Paris Tragedy to Attack Russia
    Tags:
    company, case, decision, debt, court, Ukraine, Russia
    Community standardsDiscussion
    Comment via FacebookComment via Sputnik