While Russia fails to pay its international debt, the White House expects the United States and the global economy will likely only experience minimal impact.
Earlier, it was reported that the US has no plans to extend an exemption that allows Russia to repay debts to its international investors using the US dollar currency.
The exemption previously allowed Moscow to maintain payments on government debt, but because it has now expired, Russia is having difficulty paying off about $ 40 billion of its international bonds.
If it fails, Russia may face the risk of ‘default’, which means failure to make the required interest repayments on the debt at the agreed time.
White House spokeswoman Karine Jean-Pierre said on Thursday that the impact on the U.S. and the global economy is minimal because Russia is already financially isolated.
Since then, the Treasury Department has continued to monitor and communicate with the global financial community, Jean-Pierre said.
Western sanctions imposed after Russia’s attack on Ukraine on February 24 have hampered the movement of money across the country and affected most world transactions.
