Russia-Ukraine Crisis: Russia Is Sanctioned by International Financial Sanctions, What Role Can China Play? – BBC News in Chinese

However, the “Global Interbank System” is different from commercial banks in the traditional sense. It is a rapid information system that is used to notify users when payments are sent and when they arrive.

The “Global Interbank System” sends 40 million messages a day, involving trillions of dollars in transactions between companies and governments.

Russian deals accounted for 1% of that.

The “Global Interbank System” was created by American and European banks who were reluctant to allow a single institution to develop their respective systems and form a monopoly on the global interbank system.

The “Global Interbank System” is jointly owned by more than 2,000 banks and financial institutions and is jointly supervised by the National Bank of Belgium and other major central banks in the world, including the Federal Reserve and the Bank of England.

The Global Interbank System helps its members conduct international trade in a safe manner, but should not take sides in disputes.

But after Iran was sanctioned in 2012 over its nuclear program, Iran was also banned from using the “global interbank system” as part of the sanctions. The sanctions cost Iran almost 30 percent of its foreign trade revenue from oil exports.

The “global interbank system” says they have no influence over sanctions decisions and that decisions imposed on them are made by governments.

It is unclear at this stage which Russian banks will be excluded from the “global interbank system”. Related news will be announced in the next few days.

The European Union, the United States, the United Kingdom and a number of other countries said that excluding Russia from the system would “ensure the disengagement of these banks and the international financial system, affecting their ability to operate globally.”

The sanctions are aimed at denying Russian companies access to the smooth and fast means of transaction provided by the “global interbank system”. This will seriously disrupt the income of Russia’s energy and agricultural exports.

In this case, the banks involved may have to be contacted directly, creating delays, increasing transaction costs, and ultimately cutting off the Russian government’s revenue.

Russia has faced the threat of being excluded from the “global interbank system” when it annexed Crimea in 2014. At the time, Russia said imposing sanctions on the “global interbank system” was tantamount to a declaration of war.

At the time, Western countries did not implement the threat of sanctions, but that threat led Russia to develop its own cross-border payment system.

In response to being sanctioned by the “Global Interbank System”, the Russian government has established its own independent payment card system, known as “Mir”. However, very few foreign banks currently use Russia’s card payment system.

Some countries, including Germany, France and Italy, were at one point reluctant to sanction Russia with a “global interbank system.”

Russia is the main supplier of oil and gas imports to the EU, and it is not easy to find other avenues for oil and gas imports. Combined with soaring energy prices, many governments do not want to see further disruptions to oil and gas supplies.

And those companies that owe money from Russia had to find other ways to get repayment from Russia in the event of sanctions. Some say the international financial chaos that such sanctions would bring would be too great.

Russia’s former finance minister, Kudrin Alexey Leonidovich, said Russia’s exclusion from the “global interbank system” would shrink the Russian economy by 5 percent.

But there are doubts that the sanctions will have a lasting impact on the Russian economy. Russian banks may detour through countries such as China that do not sanction Russia for international payments, and China also has its own payment system.