On May 5, Western Union international money transfer operator will suspend remittance of money from Russia to Ukraine without opening a bank account, according to the Russian newspaper Vedomosti.
The reason for the Western Union`s adoption of this decision was a law on financial sanctions, approved by the government of the Russian Federation in response to Ukraine`s sanctions imposed against Russian banks and payment systems, Vedomosti reported.
The law comes into force on May 5.
On March 29, the Russian State Duma passed a law restricting money transfers from Russia to foreign countries via foreign payment systems.
”This means that it will be more expensive for Ukrainians to transfer money within the CIS [Commonwealth of Independent States], where the positions of Russian payment systems with their cheap tariffs have been strong for many years,” FinClub reports.
Earlier, all Russia`s payment systems that operated in Ukraine were included in the sanctions list. It was noted that they would be replaced by such international systems as Western Union and MoneyGram.