The President signed an Executive Order On a Provisional Procedure for Meeting Financial Obligations in Corporate Relations to Certain Foreign Creditors.
04 May 2022
The Executive Order supplements measures envisaged by the Presidential Executive Orders On Imposing Special Economic Measures in Connection with the Hostile Actions of the United States in League with Other Foreign States and International Organisations of February 28, 2022, On Additional Temporary Economic Measures to Ensure the Financial Stability of the Russian Federation of March 1, 2022, On a Temporary Procedure for Meeting Obligations to Certain Foreign Creditors of March 5, 2022, On Additional Provisional Economic Measures to Ensure Financial Stability of the Russian Federation in Foreign Exchange Regulation of March 18, 2022, On the Special Procedure to Allow Foreign Buyers to Meet their Commitments to Russian Natural Gas Suppliers of March 31, 2022, and On Provisional Procedures for Fulfilling Financial Obligations to Certain Foreign Creditors in the Transport Sector of April 1, 2022.
The Executive Order establishes a provisional procedure for meeting commitments on the payment of profit by limited liability companies, economic partnerships and production cooperatives that have residency status to foreign creditors, that is, to members of these companies, partnerships and cooperatives that are foreign entities associated with the foreign states involved in unfriendly actions towards the Russian Federation, Russian legal entities and individuals, or entities that are under control of such foreign entities.
The Executive Order also authorises the Central Bank of the Russian Federation and the Finance Ministry of the Russian Federation to determine a different procedure for the payment of residents’ profits to foreign creditors.