Russia pays off external bonded debt issued in June 1998

The Russian Finance Ministry has totally paid off the $1.25 billion-worth external bonded debt issued in June 1998.

The Finance Ministry had paid off, in May 2003, the internal state currency bond of the fourth series, with a face value of $3.462 billion and in April the external bonded debt in Italian liras 400 million euros (750 billion liras) worth.

The 2003 payments on eurobonds conclude the series of the largest since 1991 payments for paying off Russia's principal debt with fixed coupon income in foreign currencies, the Finance Ministry reports.

Thus, Russia "has overcome the peak of payments for sinking its external debt in 2003, with a major part thereof being eurobonds and internal currency bond of the fourth series." Repayment of the debt in 2001-2003 has been carried out without borrowings from international markets and international financial organisations, the Finance Ministry stresses.

Altogether, Russia has paid $28.5 billion for its principal debt from January 2000 to June 2003.