Reported 5 months ago
U.S. Treasury Secretary Janet Yellen warned European banks at a G7 finance leaders meeting in Italy of the increasing risks associated with operating in Russia, indicating potential tougher sanctions on banks aiding Russia's war efforts. Yellen suggested that operating in Russia poses significant risks, with European Central Bank policymaker Fabio Panetta advising Italian banks to "get out" of Russia due to reputational concerns. The U.S. has new secondary sanctions authority to cut off banks found assisting in circumventing primary sanctions against Russia. Yellen expressed concern about Russia's ability to acquire military goods through transactions with other countries despite existing sanctions. Additionally, the Treasury recently warned Raiffeisen about potential financial system access cutoff due to its Russian dealings, signaling Washington's readiness to hold European banks accountable for their ties with Russia.
Source: YAHOO