Russia’s economy will contract by more than 10% in 2022, according to Alexei Kudrin, former finance minister. This would be the largest drop in the gross domestic product since 1991,
The clock ticks towards a Russian default
Russia is facing its first sovereign external default for over 100 years. Russia made arrangements earlier this week to repay international bonds in roubles, despite the fact that the payment
S&P reduces Russia’s foreign currency rating to selective default.
S&P reduced Russia’s foreign currency rating to “selective default” Saturday due to the increased risk that Moscow may not be able or willing to honor its obligations to foreign debtholders.
Russia to “Default” if Dollar Coupons are Paid in Rubles
According to Fitch Ratings, Russia could default if it fails to pay the U.S. dollar coupon payments due Wednesday on its dollar debt. This grace period is a 30-day one.
Russia is due to make an important $117 million bond payment next week
Next week will be a much clearer picture of the cost of Russia’s invasion of Ukraine. There is a likely sovereign default, additional emergency central bank measures, and the possibility