Germany urged Kiev to present new proposals for debt of the Russian Federation

Germany urged Kiev to present new proposals for debt of the Russian Federation

Moscow. 10 February. Germany, which is mediating talks between Moscow and Kiev on the restructuring of the Ukrainian debt in $3 billion, is pushing Ukraine to make Russia a new improved proposal for a bond swap, Bloomberg reported, citing its sources.

The Russian Finance Ministry on Tuesday rejected the proposal of Ukraine on restructuring the debt, as the conditions of Moscow seemed to be worse than those that received trade creditors of Ukraine. The assistant Finance Minister Svetlana Nikitina didn’t specify exactly what the settings offer inferior terms to commercial creditors.

The last sentence of Kiev does not recognize the official status of the debt and therefore cannot be considered as an attempt to begin to negotiate in good faith (good faith negotiations, Kiev oblige to their rules of the International monetary Fund) with the lender, argues the Russian Finance Ministry.

No offer directly from the Ukraine, the Finance Ministry had not received – a letter from the German Ministry of Finance with a possible solution to the problem, said Nikitin.

Ukraine in December defaulted on Eurobonds purchased by Russia in December 2013 with funds from the national welfare Fund. Previously, Kiev offered Moscow a debt restructuring with commercial creditors terms, Russia to discuss this option is refused, insisting on the sovereign nature of the debt.

In the near future Russia will send to Ukraine in the international court of justice, said the Minister of Finance of the Russian Federation Anton Siluanov.

The Minister of Finance of Ukraine Natalie Jaresko had previously stated that it appreciated the possibility of extrajudicial settlement of the situation.