Reuters: The US may block Raiffeisen Bankʼs access to the dollar because of its ties to the Russian Federation

The US Treasury Department has warned Austrian Raiffeisen Bank International (RBI) in writing that it may restrict access to the US financial system because of the bankʼs dealings with Russia.

This is reported by Reuters with reference to sources.

In early May, Deputy Finance Minister Wally Adeyemo sent a letter to the RBI expressing concern over a $1.5 billion deal with Russian sanctioned oligarch Oleg Deripaska. The bank subsequently terminated it.

However, the Ministry of Finance remains concerned about Raiffeisenʼs business in Russia. The new warning is one of the most serious for Raiffeisen Bank International, and was preceded by months of pressure from Washington. A representative of the bank said that the RBI has "significantly reduced" its activities in Russia.

The United States could cut off a bankʼs access to the dollar, which could lead to a crisis for any bank.

• In March 2023, the Austrian banking group Raiffeisen Bank International announced that it would be engaged in the possible sale or spin-off of its Russian business. There, they undertook to reduce activity in Russia.
• Raiffeisen Bank International paid €464 million in tax to the budget of the Russian Federation in 2023. RBIʼs profits in Russia have more than tripled to €1.8 billion between 2021 and 2023, accounting for half of the Austrian groupʼs total profits.