Russia to adopt tough position if Ukraine defaults: PM Medvedev

Russia’s Prime Minister Dmitry Medvedev delivers a speech at the Central Museum of the Great Patriotic War at the Poklonnaya Gora War Memorial Park in Moscow, Russia, April 28, 2015. REUTERS/Sergei Karpukhin

MOSCOW (Reuters) – Russia would adopt a tough position if Ukraine decided not to pay off debts owed to Moscow by its previous government, Russian Prime Minister Dmitry Medvedev said in an interview broadcast by Russian TV on Saturday.

Russia has spoken out against a new Ukrainian law allowing a moratorium on foreign debt repayments, threatening to take Ukraine to court if it fails to repay $3 billion that Russia lent it in 2013.

In his interview, Medvedev called the new law “contradictory”.

“Probably they are talking about private debts, but at the same time they are hinting that they aren’t prepared to pay off the debts of the (former Ukrainian president Viktor) Yanukovich government,” Medvedev said.

“If it is actually formulated in this way this would undoubtedly be a default of Ukraine … We would adopt as tough a position as possible in this case and defend our national interests,” Medvedev told the Vesti on Saturday program on state TV channel Rossiya…

We haven’t posted on it yet, but the Ukraine is having a debt crisis of its own: to Russia. It is not the first: this has happened on and off over the past few years, but it is the first since Russia seized the Crimea.

That photo — showing Medvedev with flags bearing the hammer and sickle is ‘interesting.’ Reuters picked it (not me).

  • mobuyus

    Back to the USSR.

    • Frau Katze

      Bizarre, isn’t it?

  • DMB
  • Billy Bob Thornton

    And who caused Ukraine to go bankrupt well it was themselves because Porschenko even articulated this week that he wants a war with Russia.

    This article proves it:

    And after all this, the industry due to the weapons given to Ukraine by the US the industry in the east of Ukraine is gone.

    Ukraine is even in a worse situation than Greece as said by many media sources in the independent media because they are covering the Ukraine situation and what is going on there.

    Ukraine would have been better off to join the Eurasian Union with Belarus, Kazakhstan and Russia. The same with the AIIB. Why does Ukraine want to go towards the EU and also be bailed out by the US and the EU. It is clear they should have kept Yanukovych. Ukraine is worse off now more than ever.

  • Billy Bob Thornton

    The Ukrainian currency is going to go into hyperinflation. Remember that with all the loans from the US, the West and the IMF. There is no possible way to ever pay back that amount. Ukraine is going to be worse than Greece. Russia is building the South Stream pipeline that will go through Turkey, Bulgaria, Greece and to Europe.

    Of course, Ukraine refuses to pay Russia for anything even the debts they owe. Russia can simply turn off the pipelines and not allow anything to flow.

    It shows that the Ukrainian government is adamant to have war. Why else is Canada training troops unless Canada very much seeks war with Russia in a proxy war environment. The same with the USA and other allies. The fact is the Minsk agreement is being adhered to. The heavy weapons have moved out of the east and the ceasefire is in place hence no fighting. Therefore, Ukraine should come to the table and find a way to restructure its economy with Russia’s help. It was Porschenko’s party that caused the massive debt crisis in Ukraine.

    • Why should Ukraine trust Russia, the very country that holds Europe hostage?

      • Billy Bob Thornton

        The EU wanted Russia to supply the oil and gas and Russia is creating the South Stream to flow to bypass Ukraine. Ukraine has poor leadership and yes Porschenko even said he wants war with Russia in the past week and a half. The article is here:

        • Russia wants Ukraine and Poland’s shale gas. It will appropriate any shale gas field anywhere in eastern Europe.

          Ukraine already is at war with Russia. The world just doesn’t care.

  • Alain

    Money owed is money due, be it Ukraine, Greece or which ever country.

    • Russia cranks up the prices. It’s a wonder anyone can pay the Russian monopoly.

      • Petr

        No, Russia cancells discounts when new government Ukraine becomes hostile, which is logical and reasonable. They were subsidizing Janukovich with low prices as long as he was friendly, they have no reason to subsidize Poroshenko.

        • Why should Poroshenko be friendly with Russia?

          • Petr

            Janukowich was friendly with Russia, Poroshenko and his guys are not, so no discount.

          • Yes, I gathered that.

  • Oh, Russia is going to take a tough stance, is it?

  • simus1

    Ukraine’s somnolent and lackluster governing class could do worse than study how a small dynamic country such as Finland handled the huge war reparations it was obliged to pay the USSR after WW2.