IMF Executive Director for Russia Aleksei Mozhin said that the IMF’s board of directors have voted to reform lending policies in order to allow countries to borrow money even if they default on their obligations to bilateral creditors. He also said that this decision will be applied to the previously signed contracts. New rules came into force on December 8th.
“The IMF's Executive Board met today and agreed to change the current policy on non-toleration of arrears to official creditors," chief spokesman Gerry Rice said in a statement.
It is noteworthy that Russia voted against the reform. According to the new rules, the IMF will continue to provide financial aid to Ukraine, even in case Kiev fails to pay Moscow an installment in time. Russian Finance Minister Anton Siluanov said that the decision looked rushed and biased.
"It's taken exclusively to the detriment of Russia and in order to legalize Kiev not repaying its debts," he told reporters in Moscow.
