Russia takes break from extending loans to foreign countries – Deputy Finance Minister

As of today Russia’s government has very low chances of deciding to extend new credits, Deputy Finance Minister Sergey Storchak said on Monday.

According to the official, Russia’s current state of affairs implies that extension of new credits to other countries bears heightened risks.

“Amid current environment, amid budget conditions that exist, new commitments on extension of credits to foreign borrowers is tied with heightened risks and risks related to fulfillment of those commitments in the future,” Storchak said.

In 2015 ‘fairly many’ credit agreements were signed. “We assumed big commitments. However it’s even more disreputable not to fulfil commitments under extended credits than not to fulfill commitments on loans that have been raised,” the deputy minister stressed.

“The budget is tough, more than tough. I think we’re facing a situation when we’ll be forced to take a break in assuming commitments on new credits,” he added.

Read also: No gain without pain. Putin suspends loan after Lukashenka’s refusal to deploy Russian airbase in Belarus?, via TASS

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