Wednesday, May 20, 2015

Vladimir Putin called the strange decision of Kiev on the debt – Russian newspaper

The decision of Kiev for a moratorium on payment of foreign debt – the country and talks about low professionalism, the Russian President said at a meeting with government members in the Kremlin. Vladimir Putin instructed the Prime Minister to take the matter under control.

On the agenda were the issues of formation of the federal budget for 2016 and the planned period 2017 and 2018. But first, the President proposed to discuss interagency and international issues. It turned out that it was about Ukraine.

“My question is for the Minister of Finance”, – Putin said. Receives different information from Ukraine’s reluctance to return the money received through various channels, including the private creditors, he said. “Private – is an understatement – our banks in the amount of 24-25 billion have credit portfolio in Ukraine”, – continued the president. “I would like to understand this question or not,” – he added.

Another question interested the president. “We have heard statements by responsible persons, which is considered an opportunity not to pay the loans obtained by the former leadership of the country”, – he said. “We are not talking about individuals, but about the sovereign guarantee of the Ukrainian state, – said Putin. – I would like to understand the intentions of our partners”.

The President pointed to consult the Ministry of Finance and recalled that Russia has bought three Ukrainian billion of government bonds, and at a very reduced rate – 5 percent. “In addition, we have the right for a long time to show these funds for early redemption,” – he stressed. Under the agreement, which was concluded in accordance with the European law, it is allowed if the total amount of goszadolzhennosti exceeds 60 percent.

“At the request of the Ukrainian partners and the IMF, we do not use this right, not wanting to aggravate the already difficult economic situation of our partners and neighbors, “- said Putin. “But I would like to understand what our partners are going to do really,” – he repeated. “Actually, this statement weird: you have any information?” – The president asked the head of the Ministry of Finance.

The President reminded the Finance Ministry that Russia bought three billion dollars Ukrainian government bonds

The law gives the government the right to make a decision about how to pay their debts, said Anton Siluanov. Ukraine fulfills its obligations to service the debt – payment was in February, the next time has not come yet, so that there were no violations. “But it is necessary to analyze the implications of the law” – the minister added. “If you see a violation of the commitments that Ukraine took over our resources by investing in government bonds of the Ukrainian government, we asked for a judicial mechanism to protect our interests,” – he warned.

“The strange for a statement because No more mid-year, “- said Putin. “Announcing the upcoming actually default – is the level of responsibility, professionalism, apparently low, despite the fact that the country placed under external management”, – he said.

“The IMF does not provide any loans to countries, who are in a situation of default, bankruptcy, “- reminded the President and asked the head of the government to bring the situation under control.

” In fact, this declaration of default, “- agreed the prime minister. “In this situation, the Russian state and Russian commercial banks will have to respond adequately to this” – he said. “In any case, commercial debt will need to use all possible means of protection, including legal,” – Dmitry Medvedev concluded.

Development Topics

It is also gone, and the association between Ukraine and the EU. Economic Development Minister Alexei Ulyukayev in Brussels met with the staff of the European Commission and the Ukrainian partners in this regard. “It is somehow related to our economic interests,” – the president said.

“We have agreed with our colleagues that for an association agreement between Ukraine and EU will be imposed a moratorium – it will not be effective until 1 in January 2016, and during that time would be undertaken negotiations to resolve all outstanding issues, “- continued the president. “Unfortunately, so far, these negotiations have not begun,” – he stated, and asked whether the results.

Ulyukayev admitted that he had a sense of cautious optimism. “We started to listen and hear,” – he said. “The first half of the period took place not very productive,” – he praised the minister. But he is convinced that there is a possibility of a positive decision. Russia’s position has found understanding on the part of colleagues, and it was decided that the experts will begin work, said Ulyukayev. Based on its results before the end of July, will need to decide: whether Moscow satisfied a set of documents. The question of the extension of the moratorium was not raised, as he said.

On the question of the president when the next meeting, the head of the Ministry of Economic Development said that the date has not been determined.

“Continue to work – have Putin said. – Our goal – to find solutions that are acceptable to the Russian Federation “.

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