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    World Economics Kyrgyzstan

    Several banks of Kyrgyzstan suspend operations with Russian money transfer systems

    Several banks of Kyrgyzstan suspend operations with Russian money transfer systems

    Several banks in Kyrgyzstan have temporarily halted operations with money transfer systems used for sending and receiving funds between Russia and the republic, as it was informed by TASS on June 13.

    Photo: Several banks in Kyrgyzstan suspend operations with Russian money transfer systems 
    Source: The times of Central Asia

    RSK-Bank, a leading financial institution in Kyrgyzstan, announced the suspension of several money transfer systems due to ongoing technical work. The affected systems include Astrasend, Unistream, Contact, Zolotaya Korona, and Sberbank-Online.

    The bank has assured customers that it will provide updates on the resumption of these services in due course.

    Similarly, Kompanion Bank has ceased operations with specific transfer systems. The bank's official communication states, 

    "At the moment, for technical reasons, the following transfers are not available: sending and receiving transfers in rubles in the Companion application, and sending and receiving transfers via the Unistream system."

    Mbank, another prominent player in the Kyrgyz financial market, has also introduced restrictions on transactions involving rubles. The bank cited volatility in the exchange rate and potential sharp fluctuations in the foreign exchange market as reasons for the temporary limitations. Despite these restrictions, Mbank assured customers that all funds in ruble accounts remain secure.

    Furthermore, five additional Kyrgyz banks have announced restrictions on transactions involving the conversion of ruble accounts to dollar accounts. This move comes in response to the ongoing market instability.

    The disruption in money transfer services follows a broader trend of financial caution in Kyrgyzstan. In November 2023, the majority of Kyrgyz banks ceased servicing Russian Mir payment cards due to the threat of U.S. sanctions. Currently, out of the 22 commercial banks operating in Kyrgyzstan, several had already refrained from working with Mir cards prior to the recent developments.

    On June 12,  the Moscow Exchange (MOEX.MM) declared an immediate halt to trading in U.S. dollars and euros following the U.S. sanctions on Russia.

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    13.06.2024, 19:51   Comments (0)   2204
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