The Moscow Exchange has replaced its Chinese clearing bank for yuan payments after the previous bank withdrew due to U.S. sanctions imposed in response to Russia's war against Ukraine.The Industrial and Commercial Bank of China , the largest bank globally by total assets, has taken over from the Russia subsidiary of the Bank of China, which ceased its role as MOEX's clearing bank on July 15, reported Russian daily newspaper Kommersant.
This is because OFAC licenses that allow banks to conclude operations with the sanctioned exchange will expire, Kommersant cited Russian central bank deputy chairman Philipp Gabunia as saying.Russian financial market players will still be able to trade via over-the-counter settlements bilaterally with China, Moscow International Currency Association president Alexei Mamontov told the outlet.