US slaps sanctions on dozens of Russian banks over Ukraine war
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Ukrainian firefighters working at the site of a Russian missile attack in Dnipro, Ukraine, on Nov 21.
PHOTO: AFP
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WASHINGTON – The US unveiled sanctions on dozens of Russian banks on Nov 21 – including the largest remaining one yet to face such action – over the war in Ukraine.
The move taking aim at financial institutions and officials “will further diminish and degrade Russia’s war machine”, Treasury Secretary Janet Yellen said in a statement.
“This sweeping action will make it harder for the Kremlin to evade US sanctions and fund and equip its military,” she added.
The latest sanctions hit Gazprombank, Russia’s largest remaining bank not previously blocked by the US and more than 50 internationally connected Russian banks, the Treasury Department said.
The effort also covers more than 40 Russian securities registrars and 15 Russian finance officials, the department added.
It was not immediately clear if the new wave of sanctions was linked to a recent escalation of tensions. Ukraine on Nov 21 accused Russia of launching a non-nuclear intercontinental ballistic missile attack.
The US Treasury called Gazprombank, the financial arm of Russian energy giant Gazprom, “a conduit for Russia to purchase military materiel for its war effort against Ukraine”.
It charged that the Russian government uses Gazprombank to pay soldiers, including for combat bonuses.
Gazprombank has been punished with sanctions by others, including Australia, Canada, New Zealand and Britain.
In a separate statement, National Security Adviser Jake Sullivan said: “Today’s sanctions will further curtail Russia’s abuse of the international financial system to help finance its war against Ukraine.”
State Department spokesman Matthew Miller said this also “disrupts Russia’s attempts to make cross-border payments for dual-use goods and military materiel”.
He added: “We will continue to take all appropriate actions to promote accountability for those who enable or profit from Russia’s illegal war.”
The Treasury will be issuing licences to allow US persons to wind down transactions involving Gazprombank.
It also issued an alert outlining the sanctions risks related to joining Russia’s system for transfer of financial messages – which has a role facilitating communication between financial institutions involved in the country’s financial system. AFP
