Putin Signs Decree on New Scheme to Service Eurobonds as Default Looms

Putin Signs Decree on New Scheme to Service Eurobonds as Default Looms
Russian President Vladimir Putin chairs a meeting with members of the Security Council via video link in Moscow on June 22, 2022. Sputnik/Mikhail Metzel/Kremlin via Reuters
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LONDON—President Vladimir Putin signed a decree on Wednesday to establish temporary procedures aimed at fulfilling Russia’s foreign debt obligations as the country teeters on the brink of default.

The Kremlin has repeatedly said there are no grounds for Russia to default on its debts. It says the government has the funds to pay but was unable to make interest payments to bondholders because of sanctions, accusing the West of trying to drive Russia into an artificial default.