Russia to make first foreign debt payments after gold/exchange assets frozen on Eurobonds worth $117 million
▪️ Russia’s Finance Ministry has ordered the transfer of funds to Euroclear intl depository & clearing system. Bondholders – most of whom are foreigners – will be paid in dollars
▪️No formal bans on Russian debt servicing operations yet, but lawyers fear US sanctions and banks may refuse to make payments
▪️ If the currency order is not executed, it will be transferred to investors in rubles (at central bank exchange rates)
▪️Alternatively, investors will be able to appeal to the International Court of Justice to default
