Russia’s Putin says offers Ukraine better terms to restructure debt
Move comes as West opens channels to Moscow in wake of Paris atrocity. It was proposed to transfer $3 bln in 2016.
The surprise announcement by Putin at the summit of G-20 leaders in Turkey on Monday could be a significant step toward promoting stability in Ukraine as fighting between government forces and Russia-backed separatists in eastern Ukraine dies down.
Ukraine’s finance ministry said on Monday it had not received “any direct information” on an offer by Putin.
Kyiv has stalled on repaying the Eurobond deal arranged shortly before former President Viktor Yanukovych was deposed previous year, saying the debt is private.
On November 16 the Russian President Vladimir Putin announced that Russia proposed to Ukraine to pay the debt in installments in 2016-2018, $1 bln per year.
Kyiv has made noises about drastic action unless given debt relief both from Russian Federation and private lenders.
“Russia made an offer about the procedure for payment by Ukraine”.
Putin’s offer is “the latest sign that Russia’s standoff with the USA and Europe may be relenting in the wake of last week’s terrorist attacks in Paris”, Bloomberg adds. Mr. Putin left that summit early.
Russia’s proposal was welcomed by the International Monetary Fund, which is supporting Ukraine with a $17.5 billion lending program.
“Russia has created a bargaining chip – we’ll be nice to you in the Middle East if you’ll be nice to us in Ukraine”, said Mark Galeotti, a professor in global affairs at NY University with a specialty in Russian security affairs.