Previously, the US, the UK, Europe and Canada have imposed sanctions on Russia, including blocking certain lenders' access to the SWIFT, a global network of financial institutions that enables payments
Visa, Mastercard, AmEx block Russian banks. (Credit: Republica from Pixabay)
US-based payment card companies Visa, Mastercard, and American Express (Amex) have reportedly blocked multiple Russian financial institutions from their network, amid international sanctions in response to its invasion of Ukraine.
Visa announced that it is committed to abiding with the applicable sanctions, and is prepared to comply with additional sanctions that may be imposed.
In addition, Visa Foundation will donate $2m, and double match up to $1m employee donations to the UNICEF and the Red Cross for humanitarian aid to the people of Ukraine.
Mastercard said that it will contribute $2m to the Red Cross, Save the Children foundations for humanitarian aid and further support the global efforts.
Mastercard, in a statement, said: “We have blocked multiple financial institutions from the Mastercard payment network. We will continue to work with regulators in the days ahead to abide fully by our compliance obligations as they evolve.”
Amex said that cyber security is its key area of focus, and will take all necessary steps to detect, prevent, and respond to any malicious activity.
It has announced $1m financial aid to International Rescue Committee (IRC), International Medical Corps (IMC), and American Red Cross to support the relief efforts.
Around 4% of Mastercard’s net revenues were generated from the operations within, into and out of Russia last year. Its business within, into and out of Ukraine accounted for only 2% of the net revenues, reported Reuters.
The sanctions imposed by the US government require Visa to suspend access to its network for entities listed as Specially Designated Nationals (SDN).
It has added various Russian financial firms to the SDN list, including central bank VTB.
Previously, the US, the UK, Europe and Canada have imposed sanctions on Russia, including blocking certain lenders’ access to the SWIFT, a global network of financial institutions that enables payments.