Kamis, 07 April 2022

Israel: Two killed, several wounded in Tel Aviv shooting - BBC

Scene of attack at a bar in Tel Aviv (07/04/22)
Reuters

Two people have been killed by at least one gunman in the centre of Tel Aviv, Israel, in the fourth attack of its kind in just over two weeks.

The shootings happened on Dizengoff Street, one of the busiest streets, known for its bars and restaurants.

Security forces are hunting for at least one gunman and police have told people to stay indoors.

It follows a spree of attacks by Israeli Arabs and a Palestinian which left 11 people dead.

Eight people were wounded in Thursday night's shootings, four of them critically, Tel Aviv's Ichilov hospital said.

According to the Times of Israel, the attack began when at least one gunman opened fire at Ilka bar on Dizengoff.

"We dove under the tables and people started crying, it was horrible," Evelyn Gertz, 34, who was eating next door, told the news site.

Video from Dizengoff Street shows people running away as emergency vehicles pour into the area, sirens wailing. CCTV footage from an outside bar shows people drinking then suddenly dashing away at the moment of the attack, overturning chairs in the scramble to escape.

As security forces scoured the area, police appealed to people to not venture out.

"Don't leave your homes. Don't stick your heads out of the window. Stay off your balconies," police spokesman Eli Levy said on Channel 13 television.

Israeli Prime Minister Naftali Bennett is reportedly being briefed at the military headquarters in Tel Aviv, about 1km (0.6 miles) from Dizengoff Street.

Israel's security forces were already on a high state of alert after a deadly spate of attacks in recent days.

At the end of last month, five people were shot dead by a Palestinian gunman in an ultra-Orthodox Jewish suburb of Tel Aviv. Days earlier, six people were killed in two attacks by three Israeli Arabs in the northern city of Hadera and the southern city of Beersheba. All the perpetrators were shot dead.

It marks the deadliest period of attacks in Israel since 2006, with fears of further incidents in the lead-up to the Muslim festival of Ramadan, the Jewish festival of Passover and the Christian festival of Easter which coincide in a rare convergence next week.

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2022-04-07 20:20:40Z
1375758159

Ukraine war: Putin's spokesman Dmitry Peskov denies war crimes but admits 'significant' Russian losses - Sky News

Vladimir Putin's spokesman has admitted a "significant" loss of Russian troops since the invasion of Ukraine began, telling Sky News their deaths are a "tragedy".

Dmitry Peskov, in his first broadcast interview with Western media, also said Russia hopes "this operation" will reach its goals "in the coming days".

He told Sky News' Mark Austin that "we're living in days of fakes and lies" and verified photos and satellite images of dead civilians in the streets of Ukrainian cities were a "bold fake".

"We deny the Russian military can have something in common with these atrocities and that dead bodies were shown on the streets of Bucha," he told Sky News.

He maintained the whole situation in Bucha, where photos show many murdered Ukrainian civilians, was a "well-staged insinuation, nothing else".

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Cyclist appears to be shot by Russian forces

'We're living during days of fakes and lies'

More on Russia

Asked to reveal how many civilians have died since the war began on 24 February, Mr Peskov said he did not want to answer as the numbers were not "double confirmed".

Mr Peskov continued to insist it was not a war but a "special military operation" that was necessary because, he said, Ukraine has been an "anti-Russian centre" since 2014, when Russia annexed Crimea.

He did admit: "We have significant losses of troops and it's a huge tragedy for us."

And in the first hint the Kremlin wants to see an end to the war - although in what form is unknown - he said: "Our military are doing their best to bring an end to that operation.

"And we do hope that in coming days, in the foreseeable future, this operation will reach its goals or will finish it by the negotiations between Russian and Ukrainian delegation."

Read more: Putin has 'achieved zero' and Ukraine can 'absolutely' win, says US

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The full Sky News interview with Vladimir Putin's spokesman.

'NATO's main purpose is to confront our country'

The Kremlin has been concerned about Ukraine wanting to join NATO for years, and it is one of the reasons it invaded.

Put to Mr Peskov that NATO is now stronger not weaker due to the invasion, he said: "We have to rebalance the situation and we have to take additional measures to ensure our own security because we're deeply convinced that NATO is a machine for confrontation, it's not a peaceful alliance.

"It was tailored for confrontation and the main purpose for its existence is to confront our country."

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He added that if Finland and Sweden joined NATO Russia would have to "make our Western flank more sophisticated in terms of ensuring our security".

"Everything is about mutual deterring and should one side - and we consider NATO to be one side - be more powerful than the other, especially in terms of nuclear arms, then it will be considered a threat for the whole architecture of security and it will take us to take additional measures," he said.

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Russians bombard village

'Boris Johnson is very loud in his rhetoric'

Mr Peskov accused Boris Johnson of not being constructive in his criticisms of Russia.

"He's very loud in his rhetoric about Russia from the beginning of the operation, he's rather not constructive in his attitude," he said.

"We've never heard any similar rhetoric from Boris Johnson in the last eight years.

"When people were killed in Donbas by Ukrainian nationalists, when they were heavily bombarded and shelled by heavy artillery, we have never heard a word coming from Mr Johnson."

Mr Peskov shut down any suggestion Mr Putin would appear in a war crimes court, as Mr Johnson has called for, simply saying: "We don't see any possibility for that, we don't consider it to be realistic."

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'Putin has crossed red line into barbarism'

Russia withdrew from Kyiv as an 'act of goodwill'

Mr Peskov claimed Russia withdrew from the Ukrainian regions of Kyiv and Chernihiv as an act of "goodwill" after the two cities were hounded for weeks by Russian troops.

"It was a goodwill act to lift tension from those regions and show Russia is really ready to create comfortable conditions to continue negotiations," he said.

The Pentagon said on Wednesday Russian forces fully withdrew from the capital and Chernihiv, a city to its north, in the 24 hours before.

But US intelligence authorities warned the Russians may have left mines behind and were still assessing the damage to both people and infrastructure.

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Putin spokesman: Hospital bombing was 'fake'

Mariupol hospital bombing was a 'fake'

On Mariupol, which is in the Donetsk region Russia has claimed as its own, Mr Peskov said it was going to be "liberated from nationalistic battalions - we hope it will happen sooner rather than later".

The southeastern city has been besieged by Russian troops since the start of the war, with thousands left sheltering in basements without food, water or power.

Mr Peskov said Mariupol is part of the "Luhansk people's republic", which Russia recognises as a separate state, and claimed troops were there "to assist those people who were suffering for eight years from heavy shelling from Ukraine".

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Maternity hospital hit by airstrike

On 9 March, the Russian Air Force bombed a maternity hospital in Mariupol, killing at least four people and injuring at least 16, while leading to at least one stillbirth.

Ukrainian President Volodymyr Zelenskyy described it as a war crime but Mr Peskov said it was a "fake".

"We have very serious reasons to believe it was a fake, and we insist on that," he said.

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2022-04-07 18:45:00Z
1345945014

Rabu, 06 April 2022

Ukraine war: US announces sanctions against Vladimir Putin's two adult daughters - Sky News

The US has announced sanctions against Russian President Vladimir Putin's two adult daughters, Mariya Putina and Katerina Tikhonova.

The latest move is partly in response to scenes in the Ukrainian town of Bucha, near Kyiv, where more than 300 bodies have been discovered, including some civilians with their hands tied behind their backs.

(L-R) Katerina Tikhonova, Vladimir Putin, Putin's ex-wife Lyudmila, and Mariya Putina, in Primorsky Krai in 2002. Pic: kremlin.ru
Image: (L-R) Katerina Tikhonova, Vladimir Putin, Putin's ex-wife Lyudmila Putina, and Mariya Putina, in Primorsky Krai in 2002. Pic: kremlin.ru

Sanctions will also target prime minister Mikhail Mishustin, the wife and children of foreign minister Sergei Lavrov, and members of Russia's security council including Dmitry Medvedev, an ex-president and PM.

The US believes many of the Russian leader's assets are hidden by family members.

The penalties will cut off all of Mr Putin's close family members from the US financial system and freeze any assets they hold in America.

Ukraine live news: Major new Russian offensive 'likely within days' - as new sanctions target Putin's children

The US is also toughening penalties against Russian banks in retaliation for alleged war crimes in Ukraine.

More on Ukraine

President Joe Biden, who is signing an executive order banning new US investment in Russia, called the latest round of sanctions "devastating".

"I made clear that Russia would pay a severe and immediate price for its atrocities in Bucha," Mr Biden tweeted.

Analysis: The 'easy to do' sanctions have now been imposed but there is much more that could be done
Analysis: The West has failed to deter Putin in Ukraine - can it find the courage to change direction?

In a statement, the White House said: "The United States, with the G7 and the European Union, will continue to impose severe and immediate economic costs on the Putin regime for its atrocities in Ukraine, including in Bucha."

Day 42 in Ukraine war
Image: Map of Russia's invasion of Ukraine

The White House also said that if Mr Putin were to change course in Ukraine, US sanctions could potentially slow and possibly reverse.

The latest US action will freeze any of Sberbank's and Alfa Bank's assets touching the US financial system and prohibit anyone from America from doing business with them.

The sweeping financial sanctions follow the West's earlier action this week to cut off Russia's frozen funds in the US to make debt payments.

Sberbank holds nearly one-third of the overall Russian banking sector's assets and is systemically critical to the Russian economy.

Alfa Bank is Russia's largest privately-owned financial institution and Russia's fourth-largest financial institution overall.

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Worst allegations of war crimes in Bucha

UK announces new sanctions against Russia

The UK has also announced a significant ratcheting up of its sanctions on Russia.

Britain's fifth wave of measures include asset freezes against major banks, a ban on British investment in Russia and a pledge to end dependency on Russian coal and oil by the end of the year.

Announcing the package, Foreign Secretary Liz Truss said: "Today, we are stepping up our campaign to bring Putin's appalling war to an end with some of our toughest sanctions yet.

"Our latest wave of measures will bring an end to the UK's imports of Russian energy and sanction yet more individuals and businesses, decimating Putin's war machine.

"Together with our allies, we are showing the Russian elite that they cannot wash their hands of the atrocities committed on Putin's orders. We will not rest until Ukraine prevails."

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Key sanctions announced today include:

  • Asset freezes against Sberbank and Credit Bank of Moscow;
  • An outright ban on all new outward investment to Russia. In 2020, UK investment in Russia was worth over £11bn;
  • By the end of 2022, the UK will end all dependency on Russian coal and oil, and end imports of gas as soon as possible thereafter. From next week, the export of key oil refining equipment and catalysts will also be banned, degrading Russia's ability to produce and export oil - targeting not only the industry's finances but its capabilities as a whole;
  • Action against key Russian strategic industries and state-owned enterprises - including a ban on imports of iron and steel products, a key source of revenue. Russia's military ambitions are also being thwarted by new restrictions on its ability to acquire the UK's world-renowned quantum and advanced material technologies.
Sky's Mark Austin will interview Putin's press secretary Dmitry Peskov
Image: Sky's Mark Austin will interview Putin's press secretary Dmitry Peskov

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2022-04-06 18:33:45Z
1369118632

Ukraine war: Bucha deaths 'not far short of genocide' - PM - BBC

Residents of Bucha mourning a friend whom they said had been killed by Russian soldiers
Reuters

Attacks on civilians by Russian forces in the Ukrainian town of Bucha do not "look far short of genocide", Prime Minister Boris Johnson has said.

The UK has announced further sanctions against eight oligarchs and Russian banks, including the country's largest, Sberbank, and Credit Bank of Moscow.

Dozens of people have been found dead in the town - including some in a mass grave - after Russia's withdrawal.

Moscow denied involvement and described reports as fake news.

The Foreign Office announced its latest sanctions following the reports of attacks on civilians, and these include ending all imports of Russian coal and oil by the end of the year as well as action against strategic industries.

The latest sanctions come in step with those imposed by the US, which has also imposed sanctions on Russian President Vladimir Putin's two daughters.

Ahead of the new sanctions being announced, Mr Johnson said: "I'm afraid when you look at what's happening in Bucha, the revelations that we are seeing from what Putin has done in Ukraine doesn't look far short of genocide to me.

"It is no wonder people are responding in the way that they are. I have no doubt that the international community, Britain very much in the front rank, will be moving again in lockstep to impose more sanctions and more penalties on Vladimir Putin's regime."

As part of its sanctions response, the UK has pledged to stop importing Russian oil by the end of the year, while the EU is reducing its imports of Russian gas by two-thirds.

Mr Johnson praised the "enormous strides" the EU is taken to reduce dependence on Russian gas.

Among those added to the sanctions list is Viatcheslav Kantor, the largest shareholder of fertilizer company Acron, whose donations funded a new unit at a London hospital used by the royal family.

The Edward VII Hospital accepted a donation from the Kantor Charitable Foundation to fund the Kantor Medical Centre.

Russian President Vladimir Putin (R) talks to billionaire, businessman and owner of Acron Group Viatcheslav Kantor (L) while visiting the Acron plant
Getty Images

The other oligarchs added to the sanctions list include:

  • Andrey Guryev - known close associate of Vladimir Putin and founder of fertiliser firm PhosAgro
  • Sergey Kogogin, director of Kamaz, which manufactures trucks including for the military
  • Sergey Sergeyevich Ivanov, president of the world's largest diamond producer Alrosa
  • Leonid Mikhelson, founder, and chief executive of Russian natural gas producer Novatek
  • Andrey Akimov, chief executive of Russia's third largest bank Gazprombank
  • Aleksander Dyukov, chief executive of Russia's third largest and majority state-owned oil producer GazpromNeft
  • Boris Borisovich Rotenberg, son of the co-owner of Russia's largest gas pipeline producer SGM.

Foreign Secretary Liz Truss said the latest wave of sanctions would decimate Mr Putin's "war machine" and show the Russian elite could not wash their hands of the atrocities committed on his orders.

Sanctions are penalties imposed by countries intended to stop aggression, or punish breaches of international law, and often involve financial curbs.

Those taken by the UK so far include freezing assets, excluding Russian banks from the UK financial system, banning some exports to Russia, restricting visas for wealthy investors and banning flights.

By the end of the year, the UK has said it will also phase out Russian oil imports.

Along with the EU and US, it has frozen the assets of more than 1,000 individuals and companies, including politicians and wealthy business leaders thought to be close to the Kremlin.

Asset freezes prevent anyone in the UK or any UK company from dealing with any funds or resources that are owned or held by the designated person, and prevent resources being provided to or for the benefit of that person.

Labour leader Sir Keir Starmer had called for "even tougher sanctions" following the "horrific, harrowing images" of civilian deaths in Bucha.

He said we have to give Ukraine "every support we can" and said the international community must be clear "that these war crimes will end up with those responsible being hunted down".

The deliberate targeting of civilians, as has been alleged by residents of Bucha, is a war crime under the Geneva Convention.

But for a massacre to be considered genocide, the law also requires proof of the intent to destroy a particular national, ethnic, racial or religious group - whether entirely or in part.

The Genocide Convention, introduced after the Nazi Holocaust during World War Two, requires the 152 nations who are signatories to "prevent and to punish" genocide where it occurs.

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2022-04-06 17:54:02Z
1358070181

Ukraine war: Bucha deaths 'not far short of genocide' - PM - BBC

Residents of Bucha mourning a friend whom they said had been killed by Russian soldiers
Reuters

Attacks on civilians by Russian forces in the Ukrainian town of Bucha do not "look far short of genocide", Prime Minister Boris Johnson has said.

The UK has announced further sanctions against eight oligarchs and Russian banks, including the country's largest, Sberbank, and Credit Bank of Moscow.

Dozens of people have been found dead in the town - including some in a mass grave - after Russia's withdrawal.

Moscow denied involvement and described reports as fake news.

The Foreign Office announced its latest sanctions following the reports of attacks on civilians, and these include ending all imports of Russian coal and oil by the end of the year as well as action against strategic industries.

The latest sanctions come in step with those imposed by the US, which has also imposed sanctions on Russian President Vladimir Putin's two daughters.

Ahead of the new sanctions being announced, Mr Johnson said: "I'm afraid when you look at what's happening in Bucha, the revelations that we are seeing from what Putin has done in Ukraine doesn't look far short of genocide to me.

"It is no wonder people are responding in the way that they are. I have no doubt that the international community, Britain very much in the front rank, will be moving again in lockstep to impose more sanctions and more penalties on Vladimir Putin's regime."

As part of its sanctions response, the UK has pledged to stop importing Russian oil by the end of the year, while the EU is reducing its imports of Russian gas by two-thirds.

Mr Johnson praised the "enormous strides" the EU is taken to reduce dependence on Russian gas.

Among those added to the sanctions list is Viatcheslav Kantor, the largest shareholder of fertilizer company Acron, whose donations funded a new unit at a London hospital used by the royal family.

The Edward VII Hospital accepted a donation from the Kantor Charitable Foundation to fund the Kantor Medical Centre.

Russian President Vladimir Putin (R) talks to billionaire, businessman and owner of Acron Group Viatcheslav Kantor (L) while visiting the Acron plant
Getty Images

The other oligarchs added to the sanctions list include:

  • Andrey Guryev - known close associate of Vladimir Putin and founder of fertiliser firm PhosAgro
  • Sergey Kogogin, director of Kamaz, which manufactures trucks including for the military
  • Sergey Sergeyevich Ivanov, president of the world's largest diamond producer Alrosa
  • Leonid Mikhelson, founder, and chief executive of Russian natural gas producer Novatek
  • Andrey Akimov, chief executive of Russia's third largest bank Gazprombank
  • Aleksander Dyukov, chief executive of Russia's third largest and majority state-owned oil producer GazpromNeft
  • Boris Borisovich Rotenberg, son of the co-owner of Russia's largest gas pipeline producer SGM.

Foreign Secretary Liz Truss said the latest wave of sanctions would decimate Mr Putin's "war machine" and show the Russian elite could not wash their hands of the atrocities committed on his orders.

Sanctions are penalties imposed by countries intended to stop aggression, or punish breaches of international law, and often involve financial curbs.

Those taken by the UK so far include freezing assets, excluding Russian banks from the UK financial system, banning some exports to Russia, restricting visas for wealthy investors and banning flights.

By the end of the year, the UK has said it will also phase out Russian oil imports.

Along with the EU and US, it has frozen the assets of more than 1,000 individuals and companies, including politicians and wealthy business leaders thought to be close to the Kremlin.

Asset freezes prevent anyone in the UK or any UK company from dealing with any funds or resources that are owned or held by the designated person, and prevent resources being provided to or for the benefit of that person.

Labour leader Sir Keir Starmer had called for "even tougher sanctions" following the "horrific, harrowing images" of civilian deaths in Bucha.

He said we have to give Ukraine "every support we can" and said the international community must be clear "that these war crimes will end up with those responsible being hunted down".

The deliberate targeting of civilians, as has been alleged by residents of Bucha, is a war crime under the Geneva Convention.

But for a massacre to be considered genocide, the law also requires proof of the intent to destroy a particular national, ethnic, racial or religious group - whether entirely or in part.

The Genocide Convention, introduced after the Nazi Holocaust during World War Two, requires the 152 nations who are signatories to "prevent and to punish" genocide where it occurs.

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2022-04-06 16:42:37Z
1358070181

US imposes 'severe' sanctions on Russian banks after Bucha atrocities - Financial Times

The US has imposed its most severe level of sanctions on Sberbank, Russia’s largest financial institution, and Alfa-Bank, the country’s biggest private bank, escalating its economic punishment of Moscow in response to atrocities committed by Russian forces in Ukraine.

The announcement on Wednesday of “full blocking sanctions”, which prevent the lenders from transacting with any US institutions or individuals, came after top officials including President Joe Biden warned this week that they were planning to impose harsher restrictions on Russia.

“There’s nothing less happening than major war crimes,” Biden said at an event in Washington on Wednesday, during which he listed some of the atrocities committed in Ukraine.

“Responsible nations have to come together to hold these perpetrators accountable. And together with our allies and our partners, we’re going to keep raising economic costs and ratchet up the pain for [Vladimir] Putin,” Biden added.

A senior US official said the latest measures were in response to “the sickening brutality in Bucha”, a city near the Ukrainian capital of Kyiv where gruesome images of the bodies of civilians have emerged in recent days, indicating a possible massacre by Russian soldiers.

“Treasury is committed to holding Russia accountable for its actions so it cannot benefit from the international financial system,” Janet Yellen, the US Treasury secretary, told Congress during a hearing on Wednesday.

The US also imposed sanctions on Putin’s two adult daughters, Ekaterina Tikhonova and Maria Vorontsova; the wife and daughter of Sergei Lavrov, foreign minister; and members of Russia’s Security Council, including Dmitry Medvedev, former president; and Mikhail Mishustin, prime minister.

In addition, the US said it would prohibit any new American investments in Russia, and announce new sanctions on large Russian state-owned enterprises on Thursday.

Immediately after the invasion, the US prohibited debt or equity transactions with Alfa and Sberbank, but its “full blocking sanctions” amount to much stricter curbs.

“This is the most severe action we can take in terms of financial measures,” the US official said. “And in practice, the history of sanctions is when we impose full blocking sanctions . . . the rest of the world, even in other jurisdictions that have not yet imposed a full block, they respect the regime. So there tends to be a multiplier effect.”

The official added that the US and EU had chosen to target Putin’s daughters because they believed they were helping shield the Russian president’s wealth.

The UK government on Wednesday also announced additional sanctions against Putin’s regime, including full asset freezes against Sberbank.

The measures, which Liz Truss, UK foreign secretary, said marked “the toughest sanctions yet”, included a ban on imports of Russian iron and steel products alongside an outright ban on new investment in the country.

The UK also imposed sanctions on a further eight individuals linked to key Russian industries, including Andrey Akimov, chief executive of Gazprombank, and Leonid Mikhelson, founder and chief executive of Novatek.

The US and European allies had hoped that the initial burst of sanctions imposed after Russia’s invasion in late February, including cutting off Moscow’s access to its foreign reserves by banning transactions with its central bank, would isolate the country financially without causing excessive spillovers into the rest of the global economy.

But as the conflict has continued, they have been forced to consider additional targets, widening the net to include companies and individuals in third countries continuing to do business with Russian entities and sharpening enforcement of existing sanctions.

Edward Fishman, a former Russia and Europe sanctions lead at the state department, called Wednesday’s measures “the most significant sanctions taken since the [Russian] central bank sanctions” imposed in late February.

“We’re headed towards Iran-style sanctions,” he added, referring to the decades-long measures against Tehran beginning in 1979. “This is a conveyor belt and it only leads in one direction.”

Despite the new sanctions, some US legislators on Wednesday criticised the Biden administration for not doing enough, noting that the package stopped short of levying the harshest penalties on certain oligarchs and still included exemptions for Russian energy.

David Scott, a Democrat on the House financial services committee, told Yellen that the Treasury department’s decision to issue a special licence for Alisher Usmanov — an oligarch he described as Putin’s “favourite” — which allowed him to continue doing business was becoming a “black mark” on the nation.

“Our reputation as the world leader is at stake when these types of things happen, and there’s no explanation for it,” Scott said.

Yellen said the US was prepared to wield further sanctions, including against China if it attacked Taiwan.

“We are concerned about Taiwan and will act as appropriate,” she said. “In the case of Russia, we’ve threatened significant consequences, we’ve imposed significant consequences, and I think that you should not doubt our ability and resolve to do the same in other situations.”


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2022-04-06 17:53:11Z
1369118632

Russia to make dollar bond payments in roubles after US blockade - Financial Times

Russia moved one step closer to a potential default on its foreign currency debt on Wednesday after the country’s finance ministry said it was forced to make payments to holders of its dollar-denominated bonds in roubles.

The decision to pay in the Russian currency comes after the US Treasury department blocked US banks from handling dollar payments from Russia, halting $649mn of interest and principal due on Monday. JPMorgan, the so-called correspondent bank responsible for handling the transaction, declined to process the cash after seeking guidance from US authorities, according to a person familiar with the matter.

“Due to the unfriendly actions of the US Treasury . . . the Russian Ministry of Finance was forced to involve a Russian financial institution to make the necessary payments,” the ministry said in a statement on Wednesday. Payments will instead be made to rouble-denominated accounts in Russia and the proceeds can be converted into dollars following the “restoration of the Russian Federation’s access to foreign currency accounts”, it added.

The move reprises an earlier threat by Russia to make debt payments in roubles if western sanctions prevented it from getting dollars to bondholders. Foreign investors have generally viewed such a step as amounting to default, which would be Moscow’s first since the Russian debt crisis in 1998. Rating agency Fitch said last month an attempt to make dollar interest payments in the Russian currency would indicate “that a default or a default-like process has begun”.

“People can argue that they want to pay but they are being prevented from doing so, but I’m not sure that matters,” said Marcelo Assalin, head of emerging markets debt at William Blair. “I think it’s a default if the bondholders are not paid in dollars.”

Prices of Russia’s dollar bonds extended their recent declines. A bond maturing in 2042 traded at 23 cents on the dollar, down from 34 cents on Monday.

However, Kremlin spokesperson Dmitry Peskov reiterated on Wednesday that the freezing of its foreign reserves following Russian president Vladimir Putin’s invasion of Ukraine in February constitutes an attempt to push it to an “artificial default”.

“Russia has all the necessary resources to service its debts,” Peskov said on a conference call with journalists.

“Significant amounts of our reserves are frozen in foreign countries, as you know. So if they continue to be blocked in this way and if transfers from the frozen amounts are then also blocked, then they will be serviced in roubles,” Peskov said.

“In other words, there is no basis for a real default. There are none, not even close.”

Some of Russia’s foreign currency bonds contain terms in their small print allowing payment in roubles if they cannot be made in dollars or euros, but the dollar bond that matured on Monday and a bond maturing in 2042 that was due to pay a coupon on Monday are not among them. Moscow has a 30-day grace period after Monday’s deadline in which to make the payments in order to avoid default.

One holder of Russian dollar bonds said he did not think it would be possible to set up the “type C” account at a Russian bank necessary to receive the rouble payments without contravening sanctions.

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2022-04-06 15:14:04Z
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