Economics
Ukraine Defaults on $3 Billion Bond to Russia
- Government in Kiev imposes moratorium on payments to Russia
- Russia threatened to go to court as recently as last week
Ukraine Finance Minister on $3B Putin Bond Default
This article is for subscribers only.
Ukraine said it won’t repay $3 billion in bonds due to Russia, moving a step closer to a court battle amid a new wave of economic tension between the two ex-Soviet neighbors.
Prime Minister Arseniy Yatsenyuk said Kiev is imposing a moratorium on the note due Dec. 20, which Russian President Vladimir Putin bought two years ago as part of an abortive bail-out for Ukraine’s former leader just months before he was toppled. Russia said on Friday it will wait until a 10-day grace period on the bond expires on Dec. 30 before starting legal action.