Skip to content
Edit post

UN opened Russian bank account to facilitate climate payments

by Olena Goncharova January 26, 2024 2:41 AM 2 min read
People walk past the United Nations headquarters on Dec. 12, 2023 in New York City. (Michael M. Santiago/Getty Images)
This audio is created with AI assistance

The United Nations disclosed that in 2022 it initiated the opening of a Russian bank account due to complications arising from Western sanctions affecting conventional payment channels. The UN has received membership fees from three Russian banks for a climate funding program through the account, Reuters reports.

Sovcombank, identified by the central bank as one of Russia's 13 key credit institutions, announced on Monday that the UN had established an account with an undisclosed Russian bank not subject to sanctions which enabled transactions in Russian roubles.

"There has been a Russian bank account opened by the U.N. Secretariat, consistent with our policy to assist all member states to pay their assessed contributions, failing which they lose their right to vote," a UN spokesperson said, according to Reuters. "Opening the account was necessary, as other normal channels of payment were having challenges arising from the sanctions."

Following Russia's full-scale invasion of Ukraine in February 2022, Western nations imposed extensive sanctions on Russia's financial system. In the same year, Sovcombank was added to the U.S. Treasury's Office of Foreign Assets Control (OFAC) Specially Designated Nationals (SDN) list. Consequently, the bank was excluded from the U.S. financial system and had its U.S. assets frozen.

The bank is currently pursuing a U.S. Treasury license to make payments for its membership fees to the United Nations Environment Programme Finance Initiative (UNEP FI). According to a UNEP spokesperson, $114,000 in membership fees has been received from three Russian banks that are part of the UNEP FI.

Ukraine war latest: UN Security Council to hold session on Il-76 crash
Key updates on Jan. 25: * UN Security Council to hold session on crashed Il-76 * PACE calls on European parliaments to recognize Russia’s abduction of Ukrainian children as genocide * EU allocating $16.7 million for school shelters in Ukraine * Official: 2 Ukrainian teenagers deported by Russia…
Support independent journalism in Ukraine. Join us in this fight.
Freedom can be costly. Both Ukraine and its journalists are paying a high price for their independence. Support independent journalism in its darkest hour. Support us for as little as $1, and it only takes a minute.
visa masterCard americanExpress

News Feed

8:14 AM

Air Force: Ukraine downs another Su-34.

Ukrainian forces shot down another Su-34 attack plane, the Air Force reported on Feb. 29, adding another jet to the list of reported Russian aircraft losses in recent days.
Ukraine Daily
News from Ukraine in your inbox
Ukraine news
Please, enter correct email address
3:54 AM

McConnell's exit signals shift in Republican support for Ukraine.

Senate Minority Leader Mitch McConnell's impending departure from his leadership role in November signals a significant shift in Republican support for Ukraine. McConnell has played a pivotal role in securing military assistance and funding for Kyiv, Politico reports.
10:57 PM

Parliament's website reportedly hit by cyberattack.

There are no further details on the reported cyberattack, including Verkhovna Rada’s assumptions about those involved in the hacking. At the time of publication, the link to the parliament's Telegram was already working properly.
9:22 PM

Kuleba: Albania to open embassy in Kyiv soon.

Albania is planning to open its embassy in Kyiv "soon," Ukraine's Foreign Minister Dmytro Kuleba wrote on social platform X on Feb. 28 after meeting his Albanian counterpart Igli Hasani in Tirana.
MORE NEWS

Editors' Picks

Enter your email to subscribe
Please, enter correct email address
Subscribe
* indicates required
* indicates required
Subscribe
* indicates required
* indicates required
Subscribe
* indicates required

Subscribe

* indicates required
Subscribe
* indicates required

Subscribe

* indicates required
Successfuly subscribed
Thank you for signing up for this newsletter. We’ve sent you a confirmation email.