News
Latest News
news bulletin
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Other News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Beirut
23
o
Mount Lebanon
23
o
Metn
23
o
Keserwan
23
o
North
23
o
South
22
o
Bekaa
23
o
Live
Video
Audio
Schedule
shows
العربية
watching now
Nightly News Bulletin
SUBSCRIBE
Home
Notification
Live
Video
Audio
shows
Beirut
23
o
Mount Lebanon
23
o
Metn
23
o
Keserwan
23
o
North
23
o
South
22
o
Bekaa
23
o
News
Programs
The News
Breaking Headlines
Israel-Gaza War Updates
Variety and Tech
Sports News
Middle East News
World News
Lebanon News
Press Highlights
Lebanon Economy
News Bulletin Reports
Programs
Documentaries
Lebanon’s Centennial
News Bulletin
The Untold History
Talk Show
Series
Sports
Variety
Other
Comedy
Oldies
Breaking News
Latest News
Highlighted News
Most Read
Videos
العربية
Watch the latest programs and the latest developments on your favorite screen
Shows
Join millions of followers
Who We Are
Contact Us
Advertise With Us
Careers
Channel frequencies
Privacy Policy
Terms and Conditions
Russia struggles to collect oil payments as China, UAE, Turkey increase bank scrutiny
World News
2024-03-27 | 04:18
High views
Share
Share
5
min
Russia struggles to collect oil payments as China, UAE, Turkey increase bank scrutiny
Russian oil firms face delays of up to several months to be paid for crude and fuel as banks in China, Turkey and the United Arab Emirates (UAE) become more wary of US secondary sanctions, eight sources familiar with the matter said.
Payment delays reduce revenue to the Kremlin and make them erratic, allowing Washington to achieve its dual policy sanction goals - to disrupt money going to the Kremlin to punish it for the war in Ukraine while not interrupting global energy flows.
Several banks in China, the UAE and Turkey have boosted their sanctions compliance requirements in recent weeks, resulting in delays or even the rejection of money transfers to Moscow, according to the eight banking and trading sources.
Banks, cautious of the US secondary sanctions, started to ask their clients to provide written guarantees that no person or entity from the US SDN (Special Designated Nationals) list is involved in a deal or is a beneficiary of a payment.
The sources asked not to be named due to the sensitivity of the issue and because they are not allowed to speak to media.
In the UAE, banks First Abu Dhabi Bank (FAB) and Dubai Islamic Bank (DIB) have suspended several accounts linked to the trading of Russian goods, two sources said.
UAE's Mashreq Bank, Turkey's Ziraat and Vakifbank, and Chinese banks ICBC and Bank of China still process payments, but it takes weeks or months to process them, four sources said.
Mashreq Bank declined to comment. UAE's FAB and DIB banks, Turkey's Ziraat and Vakifbank, China's ICBC, and Bank of China did not reply to requests for comments.
Kremlin spokesperson Dmitry Peskov said payment problems exist when asked about reports that banks in China have slowed payments.
"Of course, unprecedented pressure from the United States and the European Union on the People's Republic of China continues," Peskov told a daily conference call with reporters.
"This, of course, creates certain problems, but cannot become an obstacle to the further development of our trade and economic relations (with China)," Peskov said.
The West has imposed a multitude of sanctions on Russia after it invaded Ukraine in February 2022. Dealing with Russian oil is not illegal as long as it is sold below a Western-imposed price cap of $60 per barrel.
Russian oil exports and payments for it have been disrupted in the first months of the war but later normalised as Moscow re-routed flows to Asia and Africa away from Europe.
"Problems returned from December after banks and companies have realised the threat of US secondary sanctions is real," one trading source said.
The source was referring to a US Treasury executive order, opens new tab published on Dec. 22, 2023, which warned it could apply sanctions for the evasion of the Russian price cap on foreign banks and called on them to boost compliance.
It became the first direct warning about a possibility of secondary sanctions on Russia, putting it on par with Iran in some areas of trade.
Following the US order, Chinese, UAE, and Turkish banks that work with Russia have increased checks, started asking for extra documentation, and trained more staff to make sure deals were compliant with the price cap, the trading sources said.
Additional documents can also include details on the ownership of all companies involved in the deal and personal data of individuals controlling the entities so that banks can check on any exposure to the SDN list.
In the end of February UAE banks had to rise payment scrutiny as they were asked to provide data to the US correspondent banks and the US treasury if they have transactions that go to China on behalf of a Russian entity, according to one banking source familiar with the matter.
"This meant delays in processing payments to Russia," one of the sources said.
One source said one payment had been delayed by two months, while another said the delays amounted to two to three weeks.
"It has become tough and not even for the dollar transactions. Sometimes it takes weeks for a direct yuan-rouble transaction to be executed," one of the traders said.
Reuters
World News
Russia
Oil
Payments
China
UAE
Turkey
Bank
Scrutiny
Next
Russian investigators to probe alleged 'terrorist' acts by Western nations
Rescue efforts suspended at Russian gold mine due to collapse risk
Previous
Related Articles
d-none hideMe
0
World News
2024-04-10
US limits trade with 11 entities from Russia, China, UAE, government notice reveals
World News
2024-04-10
US limits trade with 11 entities from Russia, China, UAE, government notice reveals
0
World News
04:29
Ukraine confirms it struck two Russian oil refineries in drone attack
World News
04:29
Ukraine confirms it struck two Russian oil refineries in drone attack
0
World News
2024-04-26
Blinken: Russia will 'struggle' in its war in Ukraine without China
World News
2024-04-26
Blinken: Russia will 'struggle' in its war in Ukraine without China
0
World News
2024-04-23
China condemns US accusations of providing military support to Russia
World News
2024-04-23
China condemns US accusations of providing military support to Russia
Recommended For You
d-none hideMe
0
World News
12:07
Russia Extends Requirement for Major Exporters to Convert Revenues into Rubles
World News
12:07
Russia Extends Requirement for Major Exporters to Convert Revenues into Rubles
0
World News
10:03
100 people arrested at university in Boston during pro-Palestinian protest
World News
10:03
100 people arrested at university in Boston during pro-Palestinian protest
0
World News
08:34
Saudi Aramco and China's Rongsheng in talks on joint petrochemical project
World News
08:34
Saudi Aramco and China's Rongsheng in talks on joint petrochemical project
0
World News
07:54
Paris 2024 Olympics flame sets sail for France
World News
07:54
Paris 2024 Olympics flame sets sail for France
Subscribe to our VOD
SUBSCRIBE
Our visitors readings
d-none hideMe
0
News Bulletin Reports
2024-03-03
'Green gold': Lebanon's avocado industry thrives on global stage
News Bulletin Reports
2024-03-03
'Green gold': Lebanon's avocado industry thrives on global stage
0
Middle East News
2023-10-26
Abdollahian: What relates to Hamas actions is entirely rooted in international law
Middle East News
2023-10-26
Abdollahian: What relates to Hamas actions is entirely rooted in international law
0
Lebanon News
2024-04-13
Travel alert: Middle East Airlines shifts Sunday flights, maintains some: Here are the details
Lebanon News
2024-04-13
Travel alert: Middle East Airlines shifts Sunday flights, maintains some: Here are the details
0
News Bulletin Reports
12:10
Gaps in Attendance Overshadow Lebanese Forces Opposition Meeting in Maarab
News Bulletin Reports
12:10
Gaps in Attendance Overshadow Lebanese Forces Opposition Meeting in Maarab
Videos
d-none hideMe
0
Lebanon News
2023-12-11
Breaking: Israel launches raid north of Litani on Monday (Video)
Lebanon News
2023-12-11
Breaking: Israel launches raid north of Litani on Monday (Video)
0
Lebanon News
2023-11-02
Exclusive to LBCI: U.S. State Department's Wooster Stresses Lebanon Must Avoid War, Sees Renewed Push for Two-State Solution
Lebanon News
2023-11-02
Exclusive to LBCI: U.S. State Department's Wooster Stresses Lebanon Must Avoid War, Sees Renewed Push for Two-State Solution
0
Lebanon News
2023-10-18
Protests Erupt near US Embassy in Awkar Against Israeli Attacks on Al-Maamadani Hospital in Gaza
Lebanon News
2023-10-18
Protests Erupt near US Embassy in Awkar Against Israeli Attacks on Al-Maamadani Hospital in Gaza
0
Lebanon News
2023-10-05
ATFL's Ambassador Edward Gabriel on Navigating Through Economic, Political, and Refugee Crises
Lebanon News
2023-10-05
ATFL's Ambassador Edward Gabriel on Navigating Through Economic, Political, and Refugee Crises
0
Sports News
2023-08-31
Amir Saoud Powers Lebanon to Victory Over Cote d'Ivoire: A Deep Dive Into The Numbers
Sports News
2023-08-31
Amir Saoud Powers Lebanon to Victory Over Cote d'Ivoire: A Deep Dive Into The Numbers
0
Sports News
2023-08-29
France Edges Past Lebanon in a Nail-Biter at FIBA World Cup 2023: A Statistical Deep Dive
Sports News
2023-08-29
France Edges Past Lebanon in a Nail-Biter at FIBA World Cup 2023: A Statistical Deep Dive
0
Lebanon News
2019-02-28
Pierre el-Daher, the man who defeated the Lebanese Forces
Lebanon News
2019-02-28
Pierre el-Daher, the man who defeated the Lebanese Forces
Most read
d-none hideMe
24 hours
7 days
Month
1
Lebanon News
05:50
Samir Geagea denounces Hezbollah's role in South Lebanon, says Lebanese army alone can secure the borders
Lebanon News
05:50
Samir Geagea denounces Hezbollah's role in South Lebanon, says Lebanese army alone can secure the borders
2
Lebanon News
08:09
Qassem: Any expansion of Israeli aggression will be met with a firm response from Hezbollah
Lebanon News
08:09
Qassem: Any expansion of Israeli aggression will be met with a firm response from Hezbollah
3
Lebanon News
01:35
Lebanon takes 'landmark step' towards justice for war crimes: HRW says
Lebanon News
01:35
Lebanon takes 'landmark step' towards justice for war crimes: HRW says
4
Lebanon News
00:11
Amos Hochstein in Israel: Seeking diplomatic solution to end cross-border firing, LBCI sources say
Lebanon News
00:11
Amos Hochstein in Israel: Seeking diplomatic solution to end cross-border firing, LBCI sources say
5
Lebanon News
05:14
Three people killed due to Israeli shelling in southern Lebanon
Lebanon News
05:14
Three people killed due to Israeli shelling in southern Lebanon
6
Lebanon News
03:33
Israeli strike in Lebanon's Beqaa region kills Lebanese militants
Lebanon News
03:33
Israeli strike in Lebanon's Beqaa region kills Lebanese militants
7
Lebanon News
05:16
Lebanon's Cabinet adopts TNO report on Issam Abdallah's killing, seeks ICC intervention
Lebanon News
05:16
Lebanon's Cabinet adopts TNO report on Issam Abdallah's killing, seeks ICC intervention
8
Israel-Gaza War Updates
00:21
Hamas reports receiving Israeli response to its ceasefire proposal
Israel-Gaza War Updates
00:21
Hamas reports receiving Israeli response to its ceasefire proposal
Download now the LBCI mobile app
To see the latest news, the latest daily programs in Lebanon and the world
Google Play
App Store
We use
cookies
We use
cookies
to make
your experience on this
website better.
Accept
Learn More