The Finance Ministry described the timing of the start of the trial on the debt of Ukraine


Moscow. December 18. Ukraine’s decision to declare a moratorium on debt payments of Russia is an event of default was declared by the Deputy Minister of Finance Sergey Storchak.

He said that will be more important than the mere fact of non-payment, and in accordance with the loan documentation the fact of non-payment is recognized after the 10-day period after the date of compliance.

“Although the moratorium and announced, we believe it appropriate to proceed to trial only after the expired 10-day grace period. And then the fact of non-payment will be very easily fixed by the English court and this means a very fast and specific decision-making procedure,” – said Storchak.

The Deputy Minister added that the moratorium does not change the tactics of Russia related to the implementation of the plan for the trial.

According to him, the Ukrainian side will not be able to win legal dispute with Russia about the return of the loan.

He noted that to request funds, if the sovereign does not want to fulfill the court order, it will be difficult.

“As usually happens with any judicial decision taken in relation to sovereign. Assets under sovereign immunity. If he voluntarily does not want to pay, or to enforce a judgment, the plaintiff will have to seek these assets, and assets that are not protected by sovereign immunity. This is quite a time-consuming hard work. This must all remember that the international reserves managed by the Central Bank of any country enjoy absolute immunity, they are protected. Has Ukraine as a state of its international assets at $3 billion, I don’t know. Most likely, there is no money. The process is long, I think, of claiming the money back”, – he said to journalists on Friday.

As reported, the Ukrainian government on Friday announced a temporary suspension of payments on Eurobonds of Ukraine at $3 billion, purchased in late 2013 by the national welfare Fund of Russia, the moratorium is entered with the date of their repayment on 20 December 2015.

Ukraine must repay the principal debt of $3 billion and another $75 million per cent for the second half of 2015.