From Reuters:
“White House expects minimal
impact on U.S. and global economy from Russia default”
The White House said on Thursday
it expects minimal impact on the U.S. and global economy from a potential
Russia debt default as Washington decided to not extend a waiver that enabled
Russia to pay U.S. bondholders. "We expect the impact on the U.S. and the
global economy to be minimal, given Russia has already been isolated financially,"
White House spokesperson Karine Jean-Pierre said in a press briefing on
Thursday. "That being said, Treasury Department continues to monitor and
have conversations with global financial community," she said.
The United States pushed Russia
closer to the brink of a historic debt default on Wednesday by not extending
its license to pay bondholders, as Washington ramps up pressure following
Russia's actions in Ukraine. read more The U.S. Treasury Department said on its
website late on Tuesday it would let lapse a license which expired at 12:01
a.m. ET (0401 GMT) on Wednesday and allowed Russia to make interest and
maturity payments on its sovereign debt to U.S. persons. That waiver has
allowed Russia to keep up government debt payments, but its expiry now appears
to make a default inevitable on at least some its $40 billion of international
bonds - Russia's first major external one for more than a century. Western
sanctions imposed after the Kremlin's Feb. 24 invasion of Ukraine, and
countermeasures from Moscow, have complicated the movement of money across
borders, yet Russia has made a conscious effort to keep paying bondholders.
^ I hope Russia Defaults and does
so soon. It is the only way the Russian Government and the Russian People will
see how criminal they are being in Ukraine and will hurt their reputation and economy
for years. ^
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.