The Chinese Bank of China has limited the conduct of money transfers from Russia to the banks of the European Union, the USA, Great Britain and Switzerland, RBC reports citing representatives of Modulbank and Finam, for which Bank of China is a correspondent bank.
The fact that Modulbank warned its customers about the suspension of transfers in Chinese yuan to the banks of the European Union, Switzerland, Great Britain and the USA was reported by the MarketOverview Telegram channel. Pavel Semyonov, Chairman of the Board of Modulbank, confirmed to the agency that the credit institution had sent such a notice to customers. According to him, the restrictions affected all banks that use the Bank of China as the main correspondent bank for transfers in yuan.
Modulbank, which specializes in servicing small and medium-sized businesses, uses a correspondent account with the Bank of China only for yuan transfers.
Finam Bank, which is part of the investment group of the same name, stopped accepting orders to transfer funds in yuan, dollars, euros and Hong Kong dollars through correspondent accounts of Bank of China from June 13, Dmitry Lesnov, head of the group’s customer service development department, told the agency.
“The decision was made not by China, but by the EU and US parties. Thus, they are trying to carry out sanctions pressure by blocking alternative channels in the form of the yuan, ”Semenov suggests. According to Lesnov, these restrictions are associated with the risk of secondary sanctions or other restrictions on Chinese banks, which could be threatened with closing their own correspondent accounts with US and European banks.
Source: Rosbalt
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