Starting October 27, HSBC Bank will stop processing money transfers from its corporate clients to Russia and Belarus and vice versa. This was reported by Nikkei Asia in reference to notifications sent to customers at the end of August.
The email said the bank was stopping processing transactions for corporate clients due to an “increasingly difficult regulatory situation.” It was also noted that the decision was made to “minimize operational activities with Russia and Belarus, even if such activities are permitted by applicable laws and regulations.”
An HSBC representative told the agency that the group plans to complete the sale of the Russian business to Expobank in 2023 and expects to receive regulatory approval. He added that restrictions on remittances are not related to the upcoming agreement.
- In June, U.S. Treasury officials met with the leadership of the Hong Kong Monetary Authority and with banks, including HSBC, and warned of the need to carefully review transactions involving export-controlled items or Hong Kong status. as a global financial center would be undermined. .
- In October, HSBC sent a letter to Russian businessmen in Hong Kong notifying them that it would not be able to provide some investment services to Russian citizens who are not EU residents.
- HSBC agreed to sell 100% of HSBC Bank (RR) LLC to Expobank in July 2022. In February 2023, HSBC estimated losses at $300 million in connection with the planned sale of its Russian business.
Author:
anastasia marina
Source: RB
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