YEREVAN (Arka)—VTB Bank (Armenia), a subsidiary of Russia’s second largest bank, VTB, said on Monday that the new Western sanctions targeting major sectors of the Russian economy, including VTB Bank, will have no impact on its customers.

 

The Armenia-based bank said in a statement that it will continue providing the full range of services and respecting its obligations in all currencies, with which it works.

The latest Western measures target major sectors of the Russian economy, including weapons, energy and finance. Three large banks – VTB Bank OAO, Bank of Moscow and the Russian Agricultural Bank – have been cut off from the US economy.

“In connection with the U.S. sanctions announced against a number of Russian banks, including VTB, we inform that VTB Bank (Armenia) operates in a normal mode providing the full range of services regarding deposit and loan contracts, money transfer operations and payments made by use of bank cards, ” VTB Bank (Armenia) said.

The statement says Visa and MasterCard international payment systems have already confirmed that the bank’s cards can be used without limitation both in the territory of Armenia and abroad.

In turn, VTB Group in a statement issued on July 30 accepted the decision of the U.S. authorities restricting the bank in raising capital with regret.

“In our opinion, it is absolutely inadequate, as VTB strictly fulfills all legislative norms, including the requirements of the U.S. regulatory bodies, which they are well aware. Thus, we consider this decision as purely politically motivated, unfair, contrary to the legal basis and inflicting mutual economic damage,” the report said.

“VTB is a strong backbone Russian credit institution with broad international presence and strong financial position.”

“Despite the U.S. discriminatory decision, the VTB will fulfill all its obligations before its shareholders, customers and investors,” the Group said.

“The U.S. decision on the restriction of the VTB`s access to the capital market will not affect the activities and the bank’s creditworthiness. VTB enjoys a good reputation among global investors, it has excellent expertise in borrowing not only in Western markets. It is confident that it can attract resources in the case of necessity.”

VTB Bank (Armenia) is fully owned by VTB Group. It runs 67 branches across Armenia, more than any other local bank.