The British Treasury has prolonged its general license, extending permission for two additional months to enable transactions with Rosbank. This extension comes after a report from the UK Financial Sanctions Enforcement Authority, known as OFSI, noted the continued validity of the license. The revised timeframe indicates that the license originally issued on 30 June now remains in effect through 30 September 2022. Earlier expectations had suggested a sunset date of 30 July.
OFSI clarified that the grant of the permit followed the decision to place Vladimir Potanin, a prominent Russian businessman, on the UK sanctions list. The sanctions are said to be a response to actions surrounding Rosbank in the context of Western corporate withdrawals from Russia amid the situation in Ukraine. The license is framed as a narrowly tailored measure designed to support specific financial activities while maintaining pressure on entities connected to the Russian economy.
Meanwhile, Rosbank, the large Russian universal bank, is facing changes in its servicing arrangements for foreign currency accounts. Beginning July 4, a new commission rate of 0.5 percent per month will apply to individuals for services related to foreign currency accounts. This adjustment is presented as part of the evolving regulatory landscape that accompanies sanctions enforcement and the broader strategy to influence banking operations linked to sanctioned actors. [Source: OFSI notice]