The United Arab Emirates revoked the Abu Dhabi license of Russia’s MTS Bank, weeks after the lender was added to a fresh round of sanctions by the US.
(Bloomberg) — The United Arab Emirates revoked the Abu Dhabi license of Russia’s MTS Bank, weeks after the lender was added to a fresh round of sanctions by the US.
The decision to wind down MTS Bank’s operations in the Gulf country will take six months, the UAE Central Bank said in a statement Friday. The Moscow-based company is prohibited from conducting operations, except for clearing prior obligations.
MTS Bank was among 250 entities and individuals newly sanctioned by the US Treasury Department in February, part of the international response to Russia’s ongoing invasion of Ukraine.
MTS Bank’s press service didn’t immediately respond to a request for a comment.
Read: US Targets Bank With UAE Ties in New Phase of Russia Sanctions
“This decision comes after considering the available options regarding the new status of the MTS Bank, and taking into account the sanctions risks associated with the bank after the designation,” according to the statement.
MTS Bank received the Abu Dhabi license last year as thousands of Russians flocked to the Gulf nation after the start of the war on Ukraine.
–With assistance from Yuliya Fedorinova.
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