One of the largest banks in Germany Commerzbank stopped servicing payments to Russia
According to Bank Handlowy w Warszawie (BHW), which Citigroup owns, the bank does not carry out transactions with Russian banks.
The loss of another major European bank cuts off the channels through which the Russian financial system is connected to the outside world, locking it in the ruble zone and transactions with rogue states.
“We would like to inform you that, following its internal decision, Commerzbank AG has notified us that this bank has stopped settling foreign payments to Russia (except those to Commerzbank (Eurasia)).
Citi Handlowy no longer settles payment orders to Russian banks other than those to Commerzbank (Eurasia), for which Commerzbank AG is a correspondent bank,” BHW said.
In connection with the Russian invasion of Ukraine, 80% of the banking system of the aggressor was under Western sanctions.