Moscow proposes Kiev restructuring deal for its 3 billion dollar loan

“I think it will have a neutral [impact on the rating – TASS]”. The purchase of eurobonds from Ukraine was paid for by the Russian National Wealth Fund, therefore Russia’s 2016 borrowing program would be unaffected, Oreshkin said.

Russia’s standoff with Ukraine over a $3 billion bond took a U-turn as President Vladimir Putin said he’s ready to lift a December deadline and spread payments over the next three years. “We consider restructuring on the terms of commercial creditors unacceptable”. “We are ready not to receive any money this year, $1 bln next year, another $1 bln in 20187 and 2018”, Putin added.

The about face comes after Putin met with Barack Obama at the G20 summit for the first time since the Russian president surprised his American counterpart in September by sending in his warplanes to prop up Bashar Assad, the Syrian leader the US wants deposed.

Russian Federation asked that the United States or “one of the reputable worldwide financial institutions” guarantee the loan, the RBC news agency reported Tuesday.

“The proposal was received with interest”, Putin said. Russia has denied any direct role in the conflict that has pitted Ukrainian government forces against Russian-backed separatists.

“I pointed out that although Canada has shifted its approach on a broad range of multilateral and worldwide issues, we remain committed to the fact that Russia’s interference in Ukraine must cease; that we stand with the Ukrainian people and expect the president to engage fully in the Minsk peace process”, he said.

The President noted that the Russian partners in the International Monetary Fund suggested that Russia used debt restructuring, which was to be paid before the end of 2015.