The Ministry of Finance will explain why Belarus will redeem Eurobonds in rubles – OfficeLife
Finance Minister of Belarus Yury Seliverstov explained on June 29 why it was decided to increase the interest on Belarusian Eurobonds in rubles, and not in the currency in which they were issued.
In short, by his statement, interest income transferred by the Ministry of Finance from February 2022, then bondholders do not reach. “These are investors from Belarus, Russia and, maybe, someone else, we may not know about the infection,” the head of the Ministry of Finance said.
Ministry of Finance: 40% of Belarusian Eurobonds are in the hands of Belarus and Russia
Seliverstov says that the money depends on how it gets to the partner bank of the Eurobond issue. He lists them by depository systems, but they don’t go any further.
“Depository implementation systems do not bring payments to those who, from their point of view, are somehow sanctioned or they do not like. In fact, these are those who were serviced in Russian depositories, these are Belarusian banks,” the Minister of Finance of Belarus explained.
“We have the risks of two plans,” says Seliverstov. – First: part of the money will not reach – about 40% by fame – to those who are friendly investors for us. The second point is that the money does not go anywhere at all, since it passes through the National Bank, which also received promises.”
At the first stage, the Ministry of Finance decided to transfer interest on eurobonds in rubles to an account in Belarusbank for the recipient Citibank, which is a partner-agent of the issue of Belarusian eurobonds. And then it is his task to think about how to bring this money to customers.
Earlier, OL reported that Belarus offered investors several options for paying interest on Eurobonds.