US payment card companies Visa and Mastercard have blocked several Russian financial institutions from their network, complying with government sanctions imposed by Moscow’s invasion of Ukraine.
Visa said on Monday that it was taking immediate steps to ensure compliance with applicable sanctions, adding that it would donate $2 million to humanitarian aid. Mastercard also pledged to contribute $2 million.
“We will continue to work with regulators in the coming days to fully meet our compliance obligations as they evolve,” Mastercard said in a separate statement on Monday.
Government sanctions require Visa to suspend access to its network for entities listed as Specially Designated Nationals, a source familiar with the matter told Reuters. The United States has added several Russian financial companies to the list, including the country’s central bank and second-largest creditor VTB (VTBR.MM).
On Saturday, the US, Britain, Europe and Canada announced new sanctions on Russia – including blocking certain creditors’ access to the SWIFT international payments system.
Russians rushed to ATMs and waited in long lines on Sunday and Monday amid concerns that bank cards might stop working or that banks would limit cash withdrawals.
Russia calls its actions in Ukraine a “special operation”.
Many Western banks, airlines and others have cut ties with Russia, calling the country’s actions unacceptable. European nations and Canada have closed their airspace to Russian aircraft.
Source: CNN Brasil
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