Russia to delay debt payment

Russia to delay debt payment

MOSCOW (AFP): Russia said on Friday it would delay this year's
first payments on its US$48 billion debt to the Paris Club of
creditor nations, a move described by analysts as a strong-arm
negotiating tactic.

"This is not a default of payment but a technical delay of
repayments," Russian Deputy Finance Minister Alexei Ulyukayev
insisted in an interview with told Moscow Echo radio station.

Russia would respect its obligations to Paris Club, a group of
nations that made loans to the former Soviet Union, he said.

The Russian government had exchanged letters with the Paris
Club, he added.

Consultations were under way which would enable Russia to
delay repayment of about $1.5 billion due in the first quarter of
the year, the government said.

But the Paris Club of creditors, led by Germany, Italy, the
United States, France and Japan, has made clear that it opposes a
moratorium before agreement has been reached.