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Blockade of Russian Banks Violates Kiev's Commitments Under IMF Deal - Bank

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The National Bank of Ukraine (NBU) said that the blockade of Russian banks subsidiaries in the country would violate Kiev's commitments under a memorandum with the International Monetary Fund.

Igor Plotnitsky - Sputnik International
LPR Head Views Blockade of Southeast as Recognition of Independence
KIEV (Sputnik) — The National Bank of Ukraine (NBU) on Friday called against blockade of subsidiaries of Russian banks in the country as it would violate Kiev's security commitments under a memorandum with the International Monetary Fund.

On Thursday, Ukrainian nationalists vowed to completely block the activities of Russian financial institutions in Ukraine.

"Such destabilizing actions against the banking system contradict the commitments assumed by our country by signing a letter of intentions with the IMF on March 29, 2017," the NBU press service said in a statement citing NBU Governor Valeria Gontareva.

Bank's governor added that Ukraine's commitments included ensuring security for the banks with Russian capital, as well as for all other international financial institutions.

"These commitments stipulate respect of the rule of law and provision of security for banks and their branches with Russian capital, to ensure that they continue uninterrupted operation…," the statement said.

According to Gontareva, the activities of the country's radicals targeting Russian banks could result in deterioration of the country's investment climate and to harm the Ukrainian citizens.

For several months, Russian banks operating in Ukraine have become targets of local radical movements disturbing the activities of the financial institutions and calling for their withdrawal from Ukraine's banking sector.

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