Sovereign default won’t be Russia’s only headache

The Russian government is no longer able to make payments on its US-denominated external debt as the US Treasury has stopped providing permissions for such transactions to correspondent banks. Russia will be declared to be in default once the one-month grace period on missed Eurobond payments due on April 4 has expired.

What you will learn:

• How Russia’s debt crisis will be among the most difficult in history to resolve
• Why an avalanche of Russian corporate defaults is also about to begin
• Why despite Russia’s default and the loss of access to borrowing markets, we estimate that Russia can still afford anti-crisis support and contain the federal budget deficit within 2% of GDP