Russia is Staring Sovereign Default in the Face

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What do you call a debt that you aren't allowed to repay? That's the question Russian bureaucrats are pondering today.

Russia is scheduled to pay $117 million on two sovereign bonds Wednesday, but no one is quite sure how it's going to do it. That's because sanctions handed out in the wake of the country's invasion of Ukraine prevent Russia from accessing foreign currency reserves, meaning it may not be able to pay bondholders and meaning Russia is on the brink of default.

Source Fool.com