Former USSR republics are tightening checks and restricting Russian citizens’ access to financial services, as well as to car and real estate purchases. This was reported by the Foreign Intelligence Service of Ukraine, according to UNN.
Details
"Former USSR republics are increasingly denying Russians access to routine everyday transactions due to the risk of being subjected to secondary international sanctions. This applies, in particular, to the purchase of cars and real estate — the scheme familiar to Russian citizens of registering purchases in the name of a "local associate" is becoming unavailable to participants," the post says.
In particular, according to available information, car dealers representing a number of well-known brands in Kazakhstan have begun refusing buyers with Russian passports, fearing the loss of lucrative contracts in the future and secondary Western sanctions. The brands include Skoda, Hyundai, Kia, Toyota, Volkswagen, Chery, Audi, Nissan, and Lexus.
"A similar situation is developing in Georgia’s real estate market: the country’s Ministry of Justice has issued bankers unofficial instructions to block large transactions involving Russians without explaining the reasons. Following recommendations from Western partners, financial regulators in Kazakhstan, Kyrgyzstan, and Armenia are introducing an automated system for tracking resales. This procedure undermines the scheme favored by Russians for circumventing sanctions, in which the purchase of a car or commercial real estate was registered in the name of a local resident and then transferred to a buyer from the Russian Federation," the post says.
According to intelligence, the new monitoring system will allow local banks to immediately block the accounts of local sellers while a "quick deal" for a resale is being prepared.
"In addition, banks in Kyrgyzstan, Armenia, and Georgia, under pressure from packages of anti-Russian sanctions, have sharply tightened checks as part of AML compliance procedures (Anti-Money Laundering). They have begun closing Russians’ accounts or refusing to accept transfers from the Russian Federation, even if they are made through non-sanctioned intermediaries," the post says.
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