WASHINGTON, December 22. /TASS/. The US administration will hold consultations with US and European banks to clarify how they can avoid falling under the restrictions stipulated by the US President’s new executive order on doing deals that help Russian defense companies, high-ranking US government officials said at a special telephone briefing dedicated to the executive order.

Certain US and European banks keep relations with correspondent banks in third countries, which may be indirectly involved in transactions that benefit the Russian defense sector, they said. "We will hold consultations with such European and US banks during the next several weeks, to inform them about the new executive order and communicate the need to declare to banks with which they cooperate that these ones must make sure they are not covered by the executive order; otherwise cooperation with them may be terminated," an official said. The US administration would like American and European banks to advise foreign partners about the importance of "preventing the possibility of being used to move resources that facilitate the development of the defense industry to Russia," he noted.

At this point, US authorities are unaware of any US or European financial institutions that could hypothetically be covered by this executive order, a spokesman for the US administration said. Nevertheless, they could still be at risk. "We are looking at a number of banks in the jurisdiction of third countries that are cooperating with US and European banks that could be at risk if measures are not taken to prevent Russia’s access to defense sector goods," he added.

US President Joe Biden is set to sign an executive decree on December 22 that will toughen sanctions against Russia as well as restrictions against financial institutions that make transactions which, in Washington’s opinion, help the Russian defense industry.