Russia imposes restrictions on foreign exchange

The Central Bank of Russia has banned the sale of cash currency to citizens from March 9 to September 9 this year. Russians will not be able to withdraw more than $ 10,000 US in foreign currency from their bank accounts for six months. More than that is provided only in rubles.

Russia's central bank has imposed restrictions on the withdrawal of foreign currency from the population's foreign currency deposits and accounts.

In addition, Russian citizens will be able to proceed to keep accounts and deposits in foreign currencies, the terms of which will not change. It is also allowed to open new accounts in foreign currency.

During this period, banks do not sell cash to citizens. At the same time, cash foreign currency can be swapped for any amount of rubles.

Russia's Sberbank has told its customers that it is feasible to buy foreign currency without cash through banking applications or exchange restrictions.

Western nations are stepping up sanctions against Russia in the wake of the military operation in Ukraine. Among the sanctioned are a number of banks in the country (VEB.RF, Sber, Gazprombank, Alfa-Bank, Otkrytiye and Sovkombank).

The EU has frozen the assets of Russia's central bank, restricting the regulator's ability to support the ruble's exchange rate through international agreements. The EU has also banned the sale and delivery of euro banknotes to Russia.

Russia has since banned the export of more than $ 10,000 US worth of foreign currency. Remittances are limited to $ 5,000 per month. Previously, exporters were required to sell 80% of their foreign currency transfers.

The Central Bank of Russia also set a commission of no less than 30% (later reduced to 12%) for individuals wishing to buy dollars, euros and pounds on the stock exchange.