S&P lowers Russia’s foreign currency rating to SD

The agency noted that Russia fulfilled its obligations on sovereign Eurobonds in rubles

The S&P Global Ratings (S&P) international agency lowered Russia’s sovereign credit rating for foreign currency from CC to SD, the agency said on its website Saturday.

The long-term rating for the national currency remains at the CC level in the CreditWatch list (rating review pending) with a negative prognosis.

The agency noted that Russia fulfilled its obligations on sovereign Eurobonds in rubles.

We do not expect investors to be able to convert the payment made in rubles into dollars, or that the government will be able to convert" rubles into dollars during the 30-day grace period, S&P said, adding that the it believes that the sanctions against Russia will be tightened again shortly.

The agency believes that this will complicate Russia’s fulfillment of obligations before foreign bond holders, Qazet.az reports.