MINSK, 9 July (BelTA) – The sanctions have not changed the Finance Ministry's approaches to refinancing the government debt this year, BelTA learned from the press service of the ministry.
“The introduction of sanctions by the European Union is not going to affect Belarus' unwavering commitment to honoring its government debt obligations, which is stipulated by the law. These payments are given a priority while executing the national budget,” the Finance Ministry noted.
According to the ministry, international rating agencies also view the country as a reliable borrower. Thus, the S&P rating agency believes that the sanctions by the European Union will not put significant pressure on the country's balance of payments and the ability of the Belarusian government to make payments to service the government debt. This rating agency affirmed Belarus' sovereign credit rating at ‘B'.
“The sanctions have not changed the Finance Ministry's approaches to refinancing the government debt this year. Borrowing on the Eurobond market in 2021 was not initially planned,” the press service emphasized. The payments on the government debt in 2021 will be made using the second tranche of Russia's loan ($500 million in equivalent was already transferred to the central budget on 2 June this year), securities on the Russian financial market, a loan from the OPEC Fund for International Development (financing of the COVID-19 response measures), securities on the domestic financial market.
“The Finance Ministry is considering borrowing on the Russian financial market, the Asian financial market, and the domestic financial market to refinance payments on the government debt in the medium term” the press service emphasized.
