US Treasury Secretary Yellen, in remarks to bankers, urges European banks to heighten compliance measures and increase focus on Russian evasion attempts

• Adds that European banks should ensure that overseas branches stringently apply sanctions compliance policies, particularly in high risk jurisdictions.


• US Treasury continues to explore new ways to reduce Russia's revenues and acquire goods for its war in Ukraine.


• The most concerning evasion of US Russian sanctions has come through China, the UAE, Turkey, but the US is watching Europe as well.


• She notes banks have bolstered compliance measures in response to US warnings on secondary financial institution sanctions.


• Actions by global financial sector are helping to frustrate Russia's ability to procure battlefield goods.


• She said the global economy resilient in face of challenging geopolitical landscape, and global financial conditions have eased since 2023 banking sector turmoil, risks broadly balanced.


• Yellen says US Treasury is remaining vigilant to elevated corporate debt, leverage and liquidity mismatches in non-bank sector, commercial real estate strains.

21 May 2024 - 07:33- Fixed IncomeEconomic Commentary- Source: Newswires