Sanctions on Russia have quickened the
country’s focus on building its relationships with
The country’s corporates are looking to turn to
Asia’s financial markets following the listing of
key individuals and corporates on US and EU sanction lists.
Sanctioned banks and corporates may look to
Asia’s capital markets to refinance their debt and
are hoping to build deeper corporate relationships.
Russia’s $400 billion agreement to export natural
gas to China
in May is a good example.
But Asian market participants hoping to take advantage must
be aware that the sanction lists changes almost daily.
Their success may be limited by reputational risks from the
tense political situation, and a reluctance to test the US
sanctions regime following a series of large fines.
Russia has for some time been building its
commercial relationships with Asian businesses and governments,
but the development...