The Russian branch of Austrian lender Raiffeisen Bank International said yesterday that outgoing euro payments to banks in other jurisdictions would no longer be possible beginning on July 3, due to restrictions on correspondent banks.
Raiffeisen Russia said on its website on Wednesday that from July 3, euro transfers to other banks located in Russia, Armenia, Azerbaijan, Belarus, Georgia, Jordan, Kazakhstan, Kyrgyzstan, Moldova, the United Arab Emirates (UAE), Tajikistan, Turkmenistan and Uzbekistan would not be possible for individuals and businesses.
“Restrictions also apply to outgoing transfers in euros to customers’ own accounts, opened with other banks in any of the above countries,” Raiffeisen noted.
“We recommend customers change the currency of the outgoing transfer or use other payment methods,” the bank said on its website
RBC says a minimum transfer threshold of 20,000 dollars or euros was set in April.
According to Reuters, the bank has been progressively tightening rules for transfers of money to and from Russia. Sources told Reuters last month that the bank was stepping up plans to spin off its Russian arm, under pressure to cut its ties to Moscow.
Raiffeisen said the new conditions would not apply to internal transfers between Raiffeisen accounts.
Raiffeisen is one of the few remaining foreign banking brands left in Russia since Moscow launched the so-called “special military operation” in Ukraine.
Reuters says that already this month Raiffeisen raised its commission on dollar transfers to Russia to 50%, with some limited exceptions.
Raiffeisenbank has been operating in Russia since 1996 and is considered one of the most reliable Russian banks. The bank reportedly creates financial solutions for private and corporate customers, residents and non-residents of Russian Federation.
The audit organization of the bank is PricewaterhouseCoopers Audit.
