Kremlin: there are no grounds for default in Russia

Kremlin Spokesman Dmitry Peskov did not rule out an artificially organized default situation in case of Russia’s external debt repayment, though there are no grounds for it.

"Russia has all necessary resources for servicing its debts. You know that a large amount of [Russia’s] reserves has been blocked in foreign states, therefore if this blocking continues and those transfers for servicing debts from the frozen amounts are also blocked, they may be paid in rubles. If it is impossible, theoretically some default situation may be organized, or course. But it is purely an artificial default situation," he explained.

"There are absolutely no grounds for default," Peskov pointed out.

Asked to comment on the fact that the Russian Finance Ministry was forced to perform its obligations on Eurobonds worth $649.2 mln in rubles for the first time, Kremlin spokesman recommended to turn to the Central Bank and the government for details.