UAE's Mashreq Bank halts lending to Russian banks

Dubai’s Mashreq Bank has stopped lending to Russian banks and is reviewing its existing exposure to the country, due to heightened risks following the invasion of Ukraine. 

This is one of the first reported steps taken by a bank in the Middle East to halt ties with Russia. 

Mashreq declined to comment on the move, which comes as banks worldwide lessen ties with Russian lenders, as new sanctions continue to be announced by world powers that include limiting access for some banks to the SWIFT international payment system. 

Bankers have said that Mashreq’s actions indicate that emerging-market banks are also nervous about their Russian exposure and the possible risk of secondary sanctions. 

​​Abu Dhabi Investment Authority, the UAE’s biggest sovereign fund, also declined to comment on its Russian exposure.