Report: Kiev eyes Russian debt moratorium until court decision

MOSCOW, Dec 25 (PRIME) -- Ukraine’s moratorium on a U.S. $3 billion Eurobond debt repayment to Russia will be in force until the issue is solved at court or restructuring is made, Finance Minister Natalie Jaresko said in an interview with Ukrainian newspaper Delo released Friday.

“Until the issue is solved. Either a court decision, or a non-court decision, in other words restructuring,” she said.

The Ukrainian government introduced the moratorium on December 18 and said then it was ready for court litigations. Kiev also sets a moratorium on repayment of a $507 million debt of satellite and rocket designer Yuzhnoye Design Office and state automobile road agency Ukravtodor to Russian banks.

Russia bought the 2-year Eurobonds in December 2013 and rejected restructuring conditions proposed by Ukraine to its commercial creditors. Kiev insisted that the terms of debt repayment to Russia will be the same as for private creditors. The International Monetary Fund (IMF) recently recognized this debt as sovereign.

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