Thu. Jun 13th, 2024

G7 leaders are preparing warnings for Chinese banks circumventing sanctions against Russia

Natasha Kumar By Natasha Kumar Jun10,2024

G7 leaders are preparing warnings for Chinese banks circumventing sanctions against the Russian Federation

Photo: ua.depositphotos .com

Leaders of the G7 countries are preparing to issue a warning to Chinese banks that continue to help Russia circumvent Western sanctions.

They plan to introduce specific restrictions against such financial institutions at the G7 summit, which will take place on June 13-15 in Italy at the initiative of Prime Minister Giorgi Meloni .

This was reported by two sources familiar with the situation from the inside, reports Reuters.

It is known that a number of banks in China continue to help the Russian Federation conduct foreign trade, bypassing Western sanctions imposed against Moscow after the full-scale invasion of Ukraine.

Preliminarily, the United States and its allies —  Great Britain, Canada, France, Germany, Italy and Japan — will not take drastic measures against Chinese banks in the form of restrictions in the  SWIFT system or termination of access to international currency — dollar and euro.

Also, the G7's focus this time will not be on large Chinese banks, but on smaller institutions that conduct financial transactions.

Washington has so far been reluctant to impose sanctions on large Chinese banks due to the huge ripple effects that could impact the global economy and US-China relations.

At the same time, major Chinese banks were forced to limit or stop payments on cross-border transactions involving Russians due to concerns about Western sanctions.

< p>– We are concerned that China is increasingly becoming a factory for the Russian war machine. You might call it the arsenal of autocracy, given that Russia's military ambitions clearly threaten Ukraine's existence, but increasingly – European security, NATO and transatlantic security— Deputy National Security Advisor for International Economics of the United States Dalip Singh commented on the situation.

Prepared by: Sergey Daga

Natasha Kumar

By Natasha Kumar

Natasha Kumar has been a reporter on the news desk since 2018. Before that she wrote about young adolescence and family dynamics for Styles and was the legal affairs correspondent for the Metro desk. Before joining The Times Hub, Natasha Kumar worked as a staff writer at the Village Voice and a freelancer for Newsday, The Wall Street Journal, GQ and Mirabella. To get in touch, contact me through my natasha@thetimeshub.in 1-800-268-7116

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