Major Austrian bank withdraws from Belarus under pressure from US

GENEVA

The major Austrian bank Raiffeisen Bank International (RBI) is ending its correspondent banking relations with Belarus, a spokeswoman for the bank confirmed Friday.

"Raiffeisen Bank International has decided to sharply reduce correspondent banking relations in the region and banks have been informed about it," the spokeswoman told Austrian news agency APA.

Earlier, Ukrainian news agency Ukrinform, citing an article in Belarusian newspaper "Nasha Niva," reported that RBI had informed Belarusian banks to end correspondent banking relations as of July 31.

According to the report, RBI was the last remaining bank cooperating with Belarusian banks to transfer funds between Europe and Belarus.

RBI, headquartered in Vienna, currently has operations in Belarus and Russia, as well as Ukraine. Austrian public broadcaster ORF reported Friday that RBI's board has recently been under pressure to find a solution for its important Russian business.

The financial institution is planning to sell or spin off its Russian subsidiary bank, according to the report. The US had increased pressure on European financial institutions active in Russia and Belarus.

In one instance, RBI received a letter from the US Office of Foreign Assets Control sanctions agency in January this year.

According to Ukrinform, the US is said to have requested documentation from Raiffeisen on transactions carried out by its Belarusian and Russian subsidiaries and threatened sanctions.

GENEVA

The major Austrian bank Raiffeisen Bank International (RBI) is ending its correspondent banking relations with Belarus, a spokeswoman for the bank confirmed Friday.

"Raiffeisen Bank International has decided to sharply reduce correspondent banking relations in the region and banks have been informed about it," the spokeswoman told Austrian news agency APA.

Earlier, Ukrainian news agency Ukrinform, citing an article in Belarusian newspaper "Nasha Niva," reported that RBI had informed Belarusian banks to end correspondent banking relations as of July 31.

According to the report, RBI was the last remaining bank cooperating with Belarusian banks to transfer funds between Europe and Belarus.

In one instance, RBI received a letter from the US Office of Foreign Assets Control sanctions agency in January this year.

According to Ukrinform, the US is said to have requested documentation from Raiffeisen on transactions carried out by its Belarusian and Russian subsidiaries and threatened sanctions.