U.S. And Its Allies Are Considering The Move To Ensure Russia Complies To UN Sanctions On North Korea.
Russian Deputy Prime Minister Arkady Dvorkovich reportedly told state-run media his country’s banking system is fully prepared to “survive” if the U.S. and its Western allies cut off access to the Society for Worldwide Interbank Financial Telecommunication.
SWIFT is a vital piece of the international funds transfer system that ensures security, although its days appear to eventually be numbered following the advent of blockchain distributed ledger systems. However, it is currently the primary means of moving money from one country to another, and is deemed essential for conducting international business.
Countries locked out of SWIFT face enormous obstacles to their domestic economies.
The U.S. considered such a move against Russia following the 2014 invasion of Ukraine under the Obama administration. The Trump administration has renewed talk of shutting down Russian access to the system more recently as a means of enforcing Russian compliance with the United Nations sanctions against North Korea.
According to the TASS news agency, Dvorkovich said:
“Certainly, it is unpleasant, as it will prove a stumbling block for companies and banks, and will slow down work. It will be inevitable to deploy some aged technologies for information transfer and calculations. However, the companies are technically and psychologically ready for the shutdown as this threat was repeatedly voiced.
“In general, disconnecting Russia from SWIFT would be a crazy step on the part of our Western partners. It is obvious that for the companies which work in Europe and the U.S. it would be harmful. And this applies not only to the shutdown of the service.”
In 2015, Russia implemented the Mir system, which is supposed to be a domestic version of VISA and MasterCard’s payment system. Last fall, Central Bank Governor Elvira Nabiullina told President Vladimir Putin 90 percent of Russia’s ATMs were prepared to use the system.
Full article: Russia Claims to be Ready for SWIFT Cutoff (TruNews)
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