UK says Russia is seeking to issue foreign debt to ‘plug holes’ ahead of ‘long’ war in Ukraine

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5 Apr. (EUROPE PRESS) –

UK Intelligence services have indicated that Russia could seek to issue foreign debt to “plug holes” in the country’s finances in the face of “a long war in Ukraine”, after Russian Prime Minister Mikhail Mishustin unveiled a plan about it.

“Russian authorities likely view foreign debt issuance as a way to plug holes in Russia’s finances while they plan for a long war in Ukraine. However, it remains unclear whether Russia will succeed in implementing these measures.” have sustained.

Thus, they recalled that Mishustin confirmed on March 28 that Moscow was “developing” a plan to “issue part of Russia’s sovereign debt in foreign currencies” and explained that “it is almost certainly an indication that Russia anticipates external financial support from countries it considers ‘friendly’.

“Once this is completed, investors from other countries will be able to buy Russian sovereign debt and finance part of Russia’s future budget deficits. These investors would be indirectly financing the Russian invasion of Ukraine,” they said, according to a series of reports. messages published by the British Ministry of Defense through its account on the social network Twitter.

In this sense, they have stressed that “in recent months, Russian banks have been the main entities that bought state debt” and added that “however, it is unlikely that they will have the capacity to fully finance the anticipated deficits of future Budgets “.