Kremlin Dismisses Impact of New EU Sanctions on Russian Banks’ Stability
Kremlin Response to Proposed EU Sanctions
MOSCOW, June 11 (Reuters) - The Kremlin on Thursday shrugged off the prospect of new European Union sanctions against its banks, saying they had already been operating under sanctions for a long time and this had not stopped them from making a profit.
Details of the New EU Sanctions Package
The EU has proposed a new package of sanctions against Russia for its war in Ukraine, heavily targeting the country's banks and crypto networks in an effort to weaken its financial system.
Kremlin’s Confidence in Banking Sector Stability
Statements from Kremlin Officials
"Our largest banks have long been under sanctions. This does not prevent the banks from earning large profits, developing, maintaining absolute stability," Kremlin spokesman Dmitry Peskov told journalists, when asked about the sector's ability to weather new restrictions.
Putin’s Assurance on Economic Control
Peskov highlighted Wednesday's comments by President Vladimir Putin about the overall economic situation being under control.
Central Bank’s Role in Ensuring Stability
"The same can be said about the banking sector. Our central bank has repeatedly spoken about this; it is monitoring the situation quite closely and taking the necessary measures to maintain this stability," he said.
Economic Impact of Sanctions and War
Sanctions, high interest rates, and war spending have taken a toll on Russia's $3 trillion economy, which contracted by 0.3% in the first quarter, marking its first quarterly decline since early 2023.
(Reporting by Dmitry Antonov, Writing by Felix Light and Alessandra Prentice, Editing by Mark Trevelyan and Tomasz Janowski)
