Russia's Red-Era Debt Put To Rest: $24 Billion in Foreign Debt Paid Off

[Dems Will Win]

The US slides deeper and deeper into debt, over $550 billion per year with the SS Trust ripoff added in--while Russia lowers it's total foreign debt by $24 billion with one payment.

The US needs to go into alternative energy big time before it is too late economically--never mind global warming!

Russia's red-era debt put to rest
Correspondents in London and Moscow
August 23, 2006

RUSSIA has wiped out its Soviet-era debts with a repayment of $US23.7 billion ($31.1 billion) that symbolises the country's transformation from economic basket case to powerhouse. The dramatic display of Russia's new-found economic clout comes just eight years after it defaulted on more than $US40 billion in debt.

...

The move knocked about a third off the country's foreign debts, which previously stood at $US70 billion. Russia had been due to pay off the debts by 2020, but the sharp rise in the price of oil has engineered a dramatic improvement in the country's fortunes. That enabled it to bring the repayment forward, at an estimated saving of $US12 billion.

...

In July, Mr Putin said: "We used to live with our hand held out for many years ... but now the Russian economy cannot only repay debts, but do so ahead of time." The Finance Ministry said the repayment would reduce Russia's foreign debts as a share of GDP to just 9 per cent.

...

Christopher Green, senior economist at the Moscow Narodny Bank in London, said the move had political implications, as well as making economic sense. "It reflects the emergence of Russia as an economy on to the global stage," he said.

http://www.theaustralian.news.com.au/story/0,20867,20222453-2703,00.html

[Tempest]

1. High oil prices have been berry, berry good to Russia

Not to mention the huge spike in natural gas prices last winter.

[Lasher]

2. Putin for US President in 2008!

We could have had our WWII debt paid off if the idiot Reagan, Poppy, and Junior hadn't come along.


http://zfacts.com/p/318.html

[Strelnikov_]

3. Russia Oil Production Overtakes Saudi Arabia

http://www.nzherald.co.nz/section/story.cfm?c_id=3&objectid=10397661

http://www.democraticunderground.com/discuss/duboard.php?az=show_mesg&forum=115&topic_id=65147&mesg_id=65147

Russia is extracting more oil than Saudi Arabia, making it the biggest producer of "black gold" in the world, figures show. The statistics, from the oil cartel Opec, reflect a trend that has seen the Russians periodically surpass the Saudis as the world's biggest oil producers on and off since 2002.

These latest figures are being hailed in Russia as evidence that such periodic production spikes are not one-offs though and that Moscow really does have a right to lay claim to the No 1 spot. According to Opec, Russia extracted 9.236 million barrels of oil a day in June, 46,000 more than Saudi Arabia. The statistics also showed that Russian production in the first half of this year increased to 235.8 million tons, a year-on-year improvement of 2.3 per cent.


Is 'He who laughs last laughs loudest' an old Russian saying?

[pitohui]

4. not getting your argument

russia was able to pay off its debt because of its huge petroleum resources and sky high prices for oil -- not because of any "alternative" energy

[Dems Will Win]

5. We don't have oil to sell

But we could be selling solar and wind power, etc. and be creating lots of American jobs, but because we have not we are now weaker than Russia and soon it may be too late with all the good patents being locked up by European and Chinese companies.

[KansDem]

6. So tell me again, who won the Cold War?

:shrug:

[PointAndLaugh]

7. Russia is changing fast.

I was there two years ago. Even the rural areas, some of which were quite literally stuck in medieval ages, are being redeveloped and improved.

I guess all that oil money goes a long way.

[Yavin4]

8. The Long Term Capital Boys May Be Crying or Laughing

Long Term Capital was a highly successful hedge fund that went under due to Russia defaulting on its bonds in 1998, and it took the Fed to arrange a buyout.

[The Anti-Neo Con]

9. Ironic huh?

We'll soon be where they were economically in 1991.

[Vidar]

10. Good for Russia--never happen in the US, land of corporate thieves.

[Dems Will Win]

11. kick