(Bloomberg) --

S&P Global Ratings cut Russia’s unsolicited foreign currency issuer credit ratings to selective default as it became the last major agency to pull sovereign ratings on the country.

“The foreign currency downgrade follows our understanding that the Russian government made coupon and principal payments on its U.S. dollar-denominated 2022 and 2042 Eurobonds in rubles when those payments were due on April 4, 2022,” S&P said in a statement.

It’s the latest sign that Russia’s first external default in a century now looks all but inevitable in the fallout from its invasion of Ukraine. The country breached the terms on two bonds by paying investors rubles instead of dollars, after the U.S. Treasury halted dollar debt payments from Russia’s accounts in U.S. banks.

Read More: Russia’s First Default in a Century Looks All But Inevitable Now

“Although the default could be remedied under a 30-day grace period allowed under the terms and conditions of the bonds, we don’t expect that investors will be able to convert those ruble payments into dollars equivalent to the originally due amounts, or that the government will convert those payments within that grace period,” S&P said.

Ratings firms are abandoning coverage of Russia because of an European Union ban. S&P Global said in its statement that all its ratings on Russia were subsequently withdrawn, following Moody’s Investors Service and Fitch Ratings in doing so ahead of an April 15 deadline.

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