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MOSCOW, November 2. /TASS/. The Russian Finance Ministry is not discussing transfer of Ukraine’s debt to state-owned Vnesheconombank (VEB), Deputy Minister Sergei Storchak said on Monday.
"No, this is not discussed," Storchak said responding to the question whether Ukraine’s debt transfer to VEB’s balance is considered.
Ukraine’s mass media reported earlier citing sources in Vnesheconombank that the state-owned bank is holding negotiations with the Russian Government on transfer of the debt to the bank’s balance and further transfer of these funds to the equity of its Ukrainian subsidiary Prominvestbank.
Prominvestbank would then present securities to the Ukraine’s Finance Ministry for repayment.
According to the official, the situation with Ukraine’s $3 bln debt to Russia so far follows the legal proceedings scenario.
"An option for the parties to reach an agreement outside the legal proceedings framework always exists in any civil relationship. Another point is on what conditions and under what circumstances. The process follows the legal proceedings scenario to date," the deputy minister said.
If the Ukrainian side fails to make payment in December, "all the procedures related to operation of covenants inside the offering memorandum will be launched," Storchak said.
It is not a simple matter to start legal proceedings, the deputy minister said. "These procedures are under preparation and will be started in due course," he added.
The Russian Ministry of Finance does not take part in meetings of Ukraine’s private lenders on the debt restructuring and insists the debt has a different status and is an official one, Russia’s Finance Minister Anton Siluanov said earlier. If Kiev fails to repay $3 bln, Russia will take legal action, he added.