The Monetary Authority of Singapore issued notices to financial institutions detailing the new measures for dealing with Russia including the exclusion of certain entities and activities.
The MAS’ first notice said that financial institutions are prohibited from dealing with designated banks and entities and to freeze assets or funds in their control within Singapore.
Designated banks include VTB Bank Public Joint Stock Company, The Corporation Bank for Development and Foreign Economic Affairs Vnesheconombank, Promsvyazbank Public Joint Stock Company and Bank Rossiya while another list for designated entities – those involved in the delivery of military goods or certain electronics – will be announced later.
Financial institutions are also prohibited from financial dealings related to raising new funds for the Russian government, the Russian central bank other entities they own or control. Prohibitions were also slapped on financial dealings with persons in Donetsk and Luhansk for activities related to transport, telecommunications, energy, and prospecting, exploration and production of oil, gas and mineral resources.
Financial Services Permitted
In its second notice, the MAS underlined the payments and transactions allowed including those for basic expense and «responsible fees» for certain services including insurance premiums, remuneration of employees, tax, mortgage payments, utility or telecommunication charges, and expenses that are necessary for compliance with regulatory requirements.
There are also «specific transactions» that have not been prohibited including those used to facilitate a non-designated person's withdrawal of funds or other assets where the person is terminating an existing business relationship with the designated bank and those necessary for the functioning of the Russian embassy in Singapore.
Financial institutions carrying such transactions are required to keep detailed records on paper or electronically.
