Bloomberg News and BBC reported that Russia will soon face a default (default) situation.
According to a local time report on the 26th, Russia has to pay about 100 million dollars in interest on foreign currency denominated government bonds, or 130 billion won in Korean currency, to investors by this day.
The previous payment date was the 27th of last month, but there was a grace period of 30 days.
The Russian government has already completed its repayment obligation by sending interest payments in dollars and paid currency to Euroclear, an international depository and settlement company, and Euroclear is in the position to deposit individual investors' accounts.
However, investors are not getting paid due to the sanctions, Bloomberg reported.
If investors fail to receive interest, Russia will default for the first time since 1998 when a moratorium was declared.
However, there is not expected to be an official default declaration.
When this happens, major credit rating agencies will determine if they default, but because of sanctions, they are currently unable to evaluate Russian government bonds.
There are also views that the official declaration is meaningless given that Russia has already been isolated from the international financial system due to Western sanctions.
"The declaration of default is symbolic," said Takahide Kiuchi, chief economist at the Nomura Institute. "The Russian government is already unable to issue dollar-denominated bonds and most countries cannot borrow money."
Earlier, the United States banned all transactions with the Russian Ministry of Finance, the central bank and sovereign wealth funds.
Until the 25th of last month, investors were allowed to receive principal and interest on government bonds and dividends from Russia, but the grace period has not been extended since then.