The Ministry of Finance reported the completion of the operation to replace Russian Eurobonds

The operation to replace Russian government securities, the face value of which is specified in foreign currency (Eurobonds), has been completed. This was reported by the Ministry of Finance on its website on December 6.

It is noted that the total amount of Eurobonds of the Russian Federation was replaced equivalent to $20.8 billion at par, or 64.2% of the dollar equivalent of the nominal volume of all original issues of Eurobonds. At the same time, the remaining unsubstituted Eurobonds in the amount of $11.6 billion will continue to circulate in the secondary market.

According to Finance Minister Anton Siluanov, the investors involved in this operation will no longer experience difficulties due to unfriendly actions of foreign settlement and clearing organizations, including problems with the secondary circulation of the relevant debt instruments and with the receipt of payments due.

"All rights of such investors in Russian sovereign debt instruments are now reliably protected by the Russian financial infrastructure. The conducted replacement of the Russian Federation's Eurobonds will serve as a good basis for the qualitative and comprehensive development of the national debt market in the Russian Federation," he emphasized.

Earlier, on September 6, the Ministry of Finance reported that it launches the procedure for the replacement of sovereign Eurobonds. Substitution was subject to Eurobonds of the Russian Federation of persons who are holders of Eurobonds at the end of the operating day on September 12, 2024. Portfolio manager of Alfa Capital Management Company Artem Privalov noted that the main reason for such replacement is to simplify the process of sovereign debt servicing. He specified that after the end of the operation all securities will be in the perimeter of the National Settlement Depository and the payment process will be significantly simplified for all participants.