Russia’s Sberbank pays in roubles on dollar-denominated Eurobonds

Reuters :
Russian lender Sberbank on Tuesday said it had made a coupon payment on dollar-denominated subordinated Eurobonds in roubles at the central bank exchange rate.
The ability of Russia to service its debt is in focus as the country faces the prospect of sovereign default after Western capitals imposed sweeping sanctions in the wake of what Moscow calls a “special operation” in Ukraine, which started on 24 Feb. Sberbank, which serves about 100 million customers in Russia, is one of the country’s most crucial financial institutions. “Due to blocking sanctions imposed on Sberbank by the United States and United Kingdom, the international financial infrastructure is preventing (Sberbank) from making payments to investors as set out in the issuance documentation,” the bank said in a statement.