When there will be a default in Russia: the future looks optimistic

To determine when there will be a default in Russia, it is worth considering the interpretation of this concept. According to the generally accepted wording, a default at the state level is an impossibility to pay off internal and external debts as a result of a sharp fall in the national exchange rate or other reasons. Most often this state of the financial system is present for a long-term and indefinite period of time.

Our debts are small

To understand when there will be a default in Russia, you need to look at the obligations of our country at the moment. At the end of 2013, the Russian Federation had debts taken in exchange for the USSR in the amount of $ 55 billion, arrears to the Paris Club amounted to just over $ 1 billion, arrears to international financial institutions were about $ 1.5 billion. We also pay the commercial debt of the Soviet Union, we pay debts to the former CMEA countries that were once our creditors.

The situation, when there will be a default in Russia, means that the country will not be able to pay off these obligations. As much as possible? In addition to the above articles, the Russian government debt includes debt relations on foreign loans and state guarantees in foreign currency. The first of which in the total amount is equal to forty billion dollars, and the second - 11.3 billion dollars. The total amount of public debt at the end of 2013 is about 111 billion dollars, with most of it is for treaties concluded by the USSR.

In the budget everything is laid

To find out when will default in Russia, you also need to pay attention to the amount and components of the country's budget for 2014. According to the adopted law No. 349-FZ (dated December 2, 2013), the total amount of this parameter for Russia is 73,310,000,000,000 rubles. At the same time, the budget contains about 97 billion rubles to service current liabilities. Therefore, the assumptions about a probable default are not based on any grounds.

Is Russia expected to default in the near future? Experts believe that no, although the share of public debt from GDP in 2014-2016 will fluctuate in the region of 13.7-14.4 percent. According to the state financial policy, in the coming years, the volume of external liabilities will decrease, which will reduce the expenditure of currency for these purposes. Russia's gold and currency reserves in recent years have been held at a level above $ 500 billion, which creates prerequisites for timely settlements with international partners.

Default is not expected

The default of 2014 in Russia is unlikely, because The country has a calm internal situation, developed and developing industry, established foreign economic and political ties, numerous trade contracts. This has a positive effect on the exchange rate of the Russian currency. The 2014 Olympiad is shaping the image of the country as a hospitable neighbor. Good energy prices also contribute to the replenishment of the budget and the direction of the funds received for the development of other industries.