The UK is pressing the EU to consider blocking Russian access to the Society for Worldwide Interbank Financial Telecommunication, known as SWIFT, as an option to hit Russia with a fresh round of sanctions. However, such a move may deprive the US dollar of the world currency status.
Meanwhile, EU leaders seem reluctant to take such a step though they said they will decide on new sanctions in the near future. Heavier sanctions against Russia will be also discussed during the NATO summit.
Similar punitive measures were taken against Iran in 2012 when the country was banned from using SWIFT. Experts say there will not be a financial catastrophe in case Russia is blocked from using the system. Yet, this would be a greater pressure on Russia’s economic and financial sector.
