European Commission bans transactions with National Bank of Belarus to manage reserves, cuts off 3 banks from SWIFT

MINSK. March 9 (Interfax) - The European Commission has adopted a decision to prohibit transactions with the National Bank of Belarus to manage gold and forex reserves and to disconnect three Belarusian banks from the SWIFT international financial messaging service.

[The decision aims to] "Restrict the provision of specialized financial messaging services (SWIFT) to Belagroprombank, Bank Dabrabyt, and the Development Bank of the Republic of Belarus, as well as their Belarusian subsidiaries. Prohibit transactions with the Central Bank of Belarus related to the management of reserves or assets, and the provision of public financing for trade with and investment in Belarus," the European Commission said in a press release following the member states' agreement on further sectoral sanctions over the situation in Ukraine and "in response to the involvement of Belarus in the aggression."

Additionally, the EU is prohibiting the provision of euro-denominated banknotes to Belarus.

The latest sanctions also ban the listing and provision of services in relation to shares of Belarusian state-owned entities on EU trading venues as of April 12, 2022, prohibit the acceptance of deposits exceeding 100,000 euros from Belarusian nationals or residents, the holding of accounts of Belarusian clients by EU central securities depositories, as well as the selling of euro-denominated securities to Belarusian clients.

In June of last year, the EU imposed sectoral sanctions on the Belarusian financial market, banning the Belarusian state from borrowing on the European market.