Russia suspends bond sales for the rest of the year

Russian Finance Minister Anton Siluanov announced that Russia will suspend the sale of bonds for the rest of the current year, justifying this decision with high costs. “We have no plans to go to the local market or foreign markets this year,” he said, adding that “this is illogical because the borrowing costs will be cosmic.”

With Russia on the verge of a possible “default” due to the sanctions imposed by the West to condemn the war, this minister accused the United States and other countries of imposing a “default” on the country. He stressed that Russia will be able to resort to legal means if it defaults on payment.

“Of course we will sue because we have taken all necessary steps to ensure that investors will get their payments,” Siluanov told the Russian newspaper Izvestia.

In the middle of March, The Managing Director of the International Monetary Fund, Kristalina Georgieva, acknowledged the possibility of Russia entering a “deep recession” due to the “unprecedented” sanctions imposed by the West.

In an interview with CBS News, Georgieva said the sanctions will hit Russia hard, reducing the country’s purchasing power and real income. Since this interview was conducted, the package of sanctions against Russia has increased significantly, with the United States, the European Union and the G7 countries announcing measures against the country led by Vladimir Putin.