EU bans seven Russian banks from SWIFT

The European Union has banned seven Russian banks from the Society for world wide interbank financial telecommunication (SWIFT) global system that underpins cross-border payments. But it spared two financial institutions in Russia because they are key to transactions for EU energy imports.

The EU left out Gazprombank and Sberbank from its move Wednesday to disconnect parts of the Russian financial industry from the SWIFT secure messaging network.

The exemption of those two banks underscores the bloc’s



reliance on Russian energy and the two financial institutions’ central role in managing payments for that business.

The seven banks targeted by the latest EU sanctions against Russia over its invasion of Ukraine are: Bank Otkritie, Novikombank, Promsvyazbank, Rossiya Bank, Sovcombank, VEB and VTB.

Gazprombank and Sberbank are, however, subject to other sets of EU financial sanctions against Russia that began in 2014 when the Kremlin annexed the Ukrainian region of Crimea.