VTB Bank CEO: Russian banks move beyond SWIFT for stable financial future

CEO of VTB Bank Andrei Kostin has said that Russian banks no longer rely on the international SWIFT system, which has proven unable to provide stable and reliable services.

Kostin made these remarks during the congress of the Russian Union of Industrialists and Entrepreneurs, Caliber.Az reports via Russian media.

He pointed out that the future of international transactions lies in using national currencies and developing new financial instruments that are not dependent on SWIFT or other traditional global banking systems.

"SWIFT is no longer necessary for us. There are new ways of working today. SWIFT has shown it cannot provide equal, stable, and reliable services for banks," Kostin remarked.

He emphasised that while Western financial institutions may eventually return to collaborating with Russia, the country has already adapted to a new financial reality. 

"Right now, we are successfully trading with the world and conducting transactions in national currencies," he added.

Kostin emphasised that Russia, together with its partners, must develop an alternative payment system independent of Western infrastructures. This would strengthen financial sovereignty and reduce the risks of sanction-related pressure.

On March 17, the EU's ban on SWIFT access came into effect for 11 additional Russian banks and two non-bank credit organisations, as part of the new 16th sanctions package.

VTB Bank, one of Russia's biggest financial institutions, was founded in 1990 and is primarily owned by the Russian government. It offers a wide range of banking services, including corporate and retail banking, investment services, and asset management. VTB plays a significant role in Russia's financial sector, serving both domestic and international clients. 

Over the years, the bank has expanded its operations globally, establishing branches in key international markets. VTB is known for its strong ties to state-backed initiatives and has been involved in several high-profile financial projects. Despite facing challenges due to international sanctions, VTB remains a key player in Russia's banking landscape.

By Naila Huseynova