The White House says 'pariah' Russia is poised to default on its bonds, as a hefty $100 million payment falls due and its options run out

Russia is likely to default on its foreign bonds in a sign of its pariah status, according to the White House.

Russia has two bond coupon payments due in dollars and euros Friday, but the fate of that money is highly uncertain after the US Treasury closed a loophole that allowed cash to get around sanctions.

Despite widespread belief that it would default under the weight of sanctions, the Russian government has continued to make payments on its foreign-currency bonds.

The US Treasury ended the sanctions exemption that allowed American investors to receive money from Russian bonds this week, which made Moscow's efforts to keep paying its debts more complicated.

The White House press secretary said on Thursday that the US expects the Russian government to default.

Russia will likely fail to meet its obligations and face default in an enduring sign that it is a pariah in the global financial system.

Moscow said last week that it had sent money to the National Settlement Depositary in order to get ahead of the US ending the exemption.

Russia is likely to be deemed to be in default if the money arrives in investors accounts in full. A 30-day grace period will begin if the cash doesn't get through on Friday.

Russia is supposed to make a payment on a dollar- and euro-denominated bond on Friday.

Both bonds have contracts that allow for payment in other currencies. Payment in Russian rubles is included for the euro-denominated bond.

The White House believes that the risks to the global economy are small if Russia fails to pay its bondholders.

The impact on the US and global economy is expected to be minimal, given that Russia has already been isolated financially.

Russia accused the US of trying to force it into a default.

Russian Finance Minister Anton Siluanov said there was funds and a willingness to pay.

The Finance Ministry will pay its dollar debts in rubles in the future. Russia would be in default according to international banks.

Despite the US ramping up sanctions, Russia has been able to get its debt payments to investors before.

Many of Russia's bondholders are European entities who can technically receive payments, according to strategists at Russian broker ITI Capital. They said that this could make it difficult for US bondholders to officially deem Moscow to have been in default.