World Financial institution cites overdue funds, places loans to Belarus in ‘nonperforming’ standing By Reuters

By Andrea Shalal

WASHINGTON (Reuters) – The World Financial institution stated on Monday it had positioned all loans made by its predominant lending arm to Belarus into “nonperforming” standing efficient instantly, citing overdue funds amounting to $68.43 million.

All Worldwide Financial institution for Reconstruction and Improvement (IBRD) loans to, or assured by, Belarus have been affected, the financial institution stated. The financial institution stopped all packages in Belarus on March 2, and has not accepted new lending to the nation since Might 2020.

It stated Belarus’ excellent principal of $967 million amounted to 0.42% of IBRD’s whole excellent loans. Being positioned in nonperforming standing ends in a cost to revenue of about $12.75 million, it stated.

Belarus has made some Eurobond funds in Belarusian rubles since Western sanctions imposed after Russia’s invasion of Ukraine restrict Minsk’s skill to deal in foreign currency echange.

The multilateral improvement financial institution halted all packages in Russia and Belarus with speedy impact in early March, following Russia’s invasion of Ukraine on Feb. 24 and what it known as “hostilities towards the folks of Ukraine.”

It had already stopped approving any new lending to Belarus in mid-2020, when america imposed sanctions on the nation over a disputed presidential election.

A flurry of navy exercise in Belarus final week raised considerations that President Alexander Lukashenko might commit his military in assist of Russia’s flailing battle effort in Ukraine.