Asia-focused British lender HSBC will reportedly increase scrutiny of all Russia-linked business, furthering its previously stated commitments to comply with sanctions.
HSBC is upping scrutiny against all Russia-linked business amongst its private and retail banking clients base in an effort to strictly comply with waves of Western sanctions, according to a «Reuters» report citing unnamed sources.
Those that will face stricter checks include all prospect clients bearing Russian passports or addresses including dual passport holders as well as those with links to Belarus, which is seen as an ally of Moscow.
Credit Cut
In addition, certain rouble cashflows are being discounted to zero for credit purposes such as those deriving income from Russian employment, pensions, or investments.
Business customers with Russian ties are also seeing new loan applications being declined and increased scrutiny on large deposits or withdrawals, even if the ties are not with sanctioned individuals or entities.
As of March 14, HSBC announced plans that it was «not accepting any new business in Russia» while continuing to reduce its existing business exposure to the country following the invasion of Ukraine.
