Ukraine Readies for Russia Court Battle After Debt Vote Passes

Russia didn’t take part in voting Wednesday on an agreement that involved accepting a 20 percent writedown on a $3 billion note due Dec. 20, Prime Minister Arseniy Yatsenyuk said at a press briefing in Kiev. He urged Russia to vote at a second poll that will take place on Oct. 29. Russia, which has threatened to take Ukraine to court if the bond isn’t paid in full, said on Thursday its position hasn’t changed.

Passage of the restructuring on most of the bonds ends Ukraine’s seven-month battle to lower its debt to meet conditions for a $17.5 billion International Monetary Fund bailout and revive an economy battered by war with pro-Russian rebels. It also isolates the Russia bond, which the government in Moscow maintains is an official loan and shouldn’t be included in the restructuring.