Russia may be in a standstill as it tries to pay its dollar-denominated bonds because of Western sanctions over the Ukraine war, Moody's said in its first major default on Moscow's foreign bonds since the years following the 1917 Bolshevik Revolution.
Russia made a payment scheduled for April 4 for two government bonds - maturing in 2022 and 2042 - in rubles instead of the dollars it was expected to pay under the terms of those securities.
Russia "can thus be considered in default by Moody's definition unless there is a change by May 4, when the grace period expires," Moody's said in a statement.
"Bond agreements do not include a provision for repayment in any currency other than dollars."
Source: ΑΠΕ-ΜΠΕ - Reuters