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Gazprom takes over Russian debt to Ukraine

Russian Ministry of Defence pays debts to the Ukraine in gas

Published: 9/6/1999

According to reports the Russian Ministry of Defence owes more than $49m to Ukrainian aircraft producers. Recently a Ukrainian delegation travelled to Moscow to discuss how the debt was to be repaid. Valery Kazakov, Ukrainian Deputy Minister on industrial policy said that it had been agreed under the repayment scheme, that the Ministry of Defence would transfer its debts to Russian gas company, Gazprom. Gazprom will then deliver gas to Ukraine to be resold by the Ukrainians to recover the debt and pay the primary creditor, the Antonov Design Bureau. How Gazprom recovers the cost of its gas is not explained in the reports.

Article ID: 832

 

 

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