Putin: Russia has made a surprise proposal on the debt of Ukraine

ANTALYA, November 16. Russia has offered to the over payment on the debt of Ukraine for the years 2016-2018 $1 billion a year, told reporters the President of Russia Vladimir Putin.

“We did, in my opinion, the unexpected offer to our partners, – he said. – We are not just agreed to restructure the Ukrainian debt, and we suggested better conditions than we have been asked by the international monetary Fund”.

“We were asked to defer payment to next year $3 billion I said that we are ready for a deeper restructuring. Ready to this year did not get any money and next year get a billion, in 2017 – and another billion in 2018 – another billion – said the President.”

“Because our partners are confident that the solvency of the Ukrainian state will grow and we have no reason to doubt that we will get three billion in the next year, no there were no fears of our partners to speak with assurance on this loan,” added the head of state. He noted that the Russian Federation asked for such assurances from either the U.S. government or from the EU or from international financial institutions. “We hope that this issue will be resolved before the beginning of December of the current year, a schedule of the IMF”, – said Putin.

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Vladimir Putin, President of Russia, the debt of Ukraine (0:39)

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According to the head of the state, the issue he had discussed with U.S. President Barack Obama, also it was discussed with the Secretary of the Treasury. “This proposal was received with interest. Agreed that in the near future subject discuss the details of our proposals”, – said Putin.

As previously in the framework of the G20 summit, Russian Finance Minister Anton Siluanov stated that Russia has put forward the IMF proposal on the settlement of the Ukrainian debt in $3 billion.

He did not disclose details, but said that the proposal “will be interesting and can be used as the basis for resolving the debt problem of Ukraine to Russia”.

According to Siluanov, the proposal of the Russian Federation addressed to the debtors (Ukraine) and the IMF. Up to this the Russian Minister spoke with some European colleagues. However, the head of the Ministry of Finance of the Russian Federation, Kiev, the proposal has not yet been let out because “our Ukrainian colleagues have not yet had any proposals that are different from settlement of debt to commercial creditors”.

About the debt of Ukraine to Russia

In December 2013 Putin and Ukrainian President Viktor Yanukovych have agreed that Moscow will give Kiev a loan of $15 billion through the placement of Ukrainian securities.

Under this program, bonds for $3 billion were placed on the Irish stock exchange on 20 December 2013 and bought by Russia at the expense of the national welfare Fund.

After Kiev agreed with creditors to restructure its debts, with the exception of Russia, Finance Minister Anton Siluanov has repeatedly said that Moscow is ready to turn to international arbitration courts, as well as directly to the international monetary Fund in December if Ukraine fails to pay its debt.

The last coupon payment on the loan were made by Ukraine in June 2015.