South Korea Announces More Sanctions Against Russian Banks
South Korea Announces More Sanctions Against Russian Banks
(Bloomberg) -- South Korea announced additional sanctions against Russia, cutting ties with its central bank and other financial institutions, while leaving energy-related transactions intact under exemptions agreed with the U.S.
Korea will suspend transactions with Russia’s central bank, National Wealth Fund of the Russian Federation, Russian Direct Investment Fund, and Rossiya bank, the Finance Ministry said Monday in a statement.
Energy-related trade with six banks, including Sberbank and the central bank, will be allowed until June 24 under a general license issued by the U.S.
The additional sanctions fall largely in line with those announced by other countries since late February as the international community tries to show a united front against Russia following its invasion of Ukraine.
The possibility of the U.S. ramping up sanctions further by banning Russian oil imports triggered a jump in crude prices Monday as major equity markets around the world head for bear territory.
For the sanctions agreed so far, the U.S. Treasury’s Office of Foreign Assets Control has allowed for some exceptions through general licenses to allow certain payments related to energy, agricultural commodities and medical supplies.
Korea now has decided sanctions against 11 Russian entities, according to the Finance Ministry.
The suspension of financial transactions with the central bank and sovereign funds will take effect March 8.
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