US causes Russia ‘default’ by stopping processing international payments of its debt

America No will update The waiver that allowed Russia’s debt payments to be processed through US and international entities on a case-by-case basis expired this Wednesday and gave the Eurasian giant its first ‘foreign exchange’ since 1918. default’ was allowed to escape.

“OFAC will not renew provisions expiring on May 25, 2022 at 12:01 EDT (6:01 a.m. Madrid time),” OFAC announced. Office of Foreign Assets Control (OFAC), attached to the US Treasury Department.

US Treasury Secretary, Janet YellenThe U.S. had already warned last week that there was a “reasonable likelihood” that the government would decide to allow this license to expire, recalling that it was a temporary measure intended to allow for a systematic transition so that investors could own their securities. be able to sell

loan maturity

Following the decision of the US government, Moscow You will not have the ability to continue processing payments on your foreign currency denominated loans.

In this sense, the Russian Ministry of Finance last week paid off two bonds this month. Russia It will still face debt due on June 23, which could declare default at the end of July, once the 30-day grace period is over.