┬áRussia has managed to avoid defaulting on its international debt so far despite unprecedented Western sanctions. But the task is getting harder and Moscow’s threats to cut Europe’s gas supply seems to be upping the ante further. Would a default really make any difference at this stage though, and what would it entail?

WHAT HAPPENS WHEN A COUNTRY DEFAULTS?

If Russia fails to make any of its upcoming bond payments within their pre-defined timeframes, or pays in roubles where dollars, euros or another currency is specified, it will constitute a default. Such an event would have been unthinkable before the Feb. 24 invasion of Ukraine, which Moscow describes as a “special military operation”, and subsequent sanctions that have frozen […]