Sanctions against the Russian Federation: In the UAE, the Russians freeze investment accounts

Economic sanctions are covered by coupons and dividends, as well as receipts from the sale of securities. There will be no exceptions even for the Russian residents. The second significant ranking bank ENBD (located in the UAE) began to block the investment accounts of Russian citizens in accordance with the EU sanction directive. Forbes wrote about it on April 13. The Bank has already begun to send corresponding letters to its customers from Russia.

They say that any coupons and dividends, as well as receipts from the sale of securities will fall into a special account. It is impossible to withdraw finances. The ENBD emphasized that restrictions do not apply to EU residents, European economic zone or Switzerland. In addition, there will be no exception even for those Russians who have a residence in the UAE. Russians will only be able to sell securities from the account with the help of "payment free of payment".

However, it creates additional risks to the seller. After all, he will first need to give a valuable asset to the buyer and only then receive money for him. It should be noted that, according to the media, the rest of the banks in the United Arab Emirates continue to cooperate with the Russians and impose no restrictions against them. Recall that at the beginning of March 2023, the US and the EU urged the UAE to stop supplying electronics to the Russian Federation.

In the West, they are concerned about a sharp increase in the export of electronic components to Russia, which can be used in the military industry. In 2022, the volume of trade in these goods increased to $ 283 million. We also wrote that in February 2023 the UAE was licensed to a foreign bank, which was a Russian financial institution, for the first time in a few years.