The Finance Ministry sees the relationship between the change in lending policy of the IMF and the Ukrainian debt


MOSCOW, October 30. The Finance Ministry sees the relationship between the change in lending policy of the IMF and the Ukrainian debt, told journalists the Minister of Finance of the Russian Federation Anton Siluanov.

“The IMF is going to abandon its long-standing practice not to lend to countries that have arrears to official creditors. The haste with which this is done suggests that the time to discuss changes to the rules of the Fund, coinciding with the second Ukrainian review of the IMF programme, is not accidental,” – said the Russian Minister.

The international monetary Fund is currently revising the rules of lending to countries that have sovereign debt. This was confirmed yesterday by the official representative of the Fund Jerry rice said that the IMF Board of Directors will consider this issue in the near future.

Siluanov reiterated that the debt of Ukraine to Russia is official in nature and, accordingly, is not subject to restructuring and the write-off in the framework of the program of Kiev for private lenders. “The Russian requirements to Ukraine are official loan and in accordance with longstanding practice, the IMF should have a privileged status compared to the requirements of private lenders. With the exception of Russian, no official requirement of the creditor was not included in the program of debt restructuring of Ukraine,” he said.

Ukraine has not led to constructive talks with Russia on the settlement of its arrears of us $3 billion, rejecting any alternatives, in addition to recognition of debt to the Russian Federation, official essentially private, said Anton Siluanov.

“The new policy, the IMF assumes that the Fund will lend to a country that has a delay before official creditor only if the country in good faith attempted, but were unable to reach an agreement with its official creditors. However, with Russia of such negotiations, Ukraine was not conducted. Moreover, Ukraine has refused to consider any alternative but the proposal to equalize the debt to Russia with debts to private creditors,” he said.

The IMF is currently revising the rules of lending to countries that have sovereign debt. This was confirmed yesterday by the official representative of the Fund Jerry rice. According to him, the IMF Executive Board will consider the matter “soon.”

Siluanov also stressed that “Russia does not want Ukraine to be left without financial support in a difficult situation”. “However, we are concerned that the changes in IMF policy enforced by the context of the very politicized issue of restructuring of Ukrainian debt,” he said.

The heads of Finance ministries of Russia and Ukraine Anton Siluanov and Natalia Jaresko had only one meeting on the debt, which was held in mid-October in Lima, Peru, in the framework of the annual meetings of the IMF and the world Bank. The two sides reiterated their positions, but they failed to agree on debt restructuring.

The Russian Finance Ministry in the case of non-payment by Kiev’s debt in December 2015, intends to apply to the international court.