Russia is insolvent for the first time in more than 100 years

Russia paid interest on its foreign debt. But it no longer reaches international creditors. What are the consequences?

Vienna. Recently, there have been repeated warnings that Russia could become insolvent at any moment. Yesterday it was so far. Many Taiwanese investors have complained that they have stopped receiving interest payments on their Russian government bonds Reuters Quoting two insiders reported.
Russia was supposed to convert $100 million in interest on foreign-currency bonds after a repayment period and a grace period by Sunday evening. And according to her own statements, she did.

This, of course, does not mean that the money will end up with international creditors. Payment transactions abroad stopped. The Kremlin spokesman said that the fact that payments from the European clearinghouse Euroclear had been stopped due to sanctions was “not our problem”. Dmitriy Peskov know yesterday. A US representative said on the sidelines of the G7 summit that the bankruptcy showed “how strong the actions the United States has taken with its allies and partners.” The consequences for the Russian economy are “tragic”. Moreover rating agency Moody’s explained that it was a matter of default. But is this clear?