Biden administration asks US banks to continue working with Russia

Washington/Moscow: The United States, which targeted the Russian foreign reserves and central bank, has instructed US banks to keep their operations active in Russia. The website Bloomberg claimed that this request was made by the US Treasury and the State Department. The Biden administration informed that this step was taken to avoid a major global financial crisis.

After the start of the Russia-Ukraine conflict, the United States and other Western countries imposed stringent sanctions on Russia targeting Russian foreign reserves and the central bank. At the same time, Russian banks and enterprises were pressured to close their foreign operations while leading US and European companies also closed their operations in Russia.

Against this backdrop, the Biden administration’s request to major banks to continue operating in Russia becomes noteworthy. The US Treasury and State Department have asked to continue services such as US dollar transactions, payment transfers and finance for trade. Bloomberg has claimed that leading US banks, like JP Morgan Chase and Citigroup, have received such instructions.

Jamie Dimon, head of JPMorgan Chase, made a statement during the hearing in front of Congress two months ago. When questioned about the bank’s dealings in Russia, Dimon replied that we are working under the instructions of the US administration.