Brussels warns EU banks against Russian bond deal - FT.com

Brussels warns EU banks against Russian bond deal - FT.com:

"Brussels is urging European banks to steer clear of Russia’s first sovereign bond issue since the imposition of western sanctions over Ukraine, creating fresh doubts about the viability of the offering. 
Although the EU’s sanctions do not explicitly prohibit purchases of Russian government debt, EU officials have privately echoed Washington’s warnings that the proceeds from an offering could be misused, according to two people familiar with the guidance. 
If this qualified warning convinces European banks to avoid the sale, Russia could be forced to abandon its first foray into capital markets since the annexation of Crimea in 2014, dealing a financial and political blow to the Kremlin. “It is clear that they don’t want us to take part,” said one banker familiar with the guidance. “We are being discouraged.” "



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