US plans to cut ties with select Russian banks if Ukraine is invaded

Biden's administration has prepared an initial package of sanctions against Russia that includes barring US financial institutions from processing transactions for major Russian banks, said reports.

President Joe Biden's administration has prepared an initial package of sanctions against Russia that includes barring U.S. financial institutions from processing transactions for major Russian banks, three people familiar with the matter said.

The measures, which would only be implemented if Russia invades Ukraine, aim to hurt the Russian economy by cutting the "correspondent" banking relationships between targeted Russian banks and U.S. banks that enable international payments. While U.S. authorities have said banking restrictions would be part of a package of possible sanctions, the administration's plan to cut correspondent banking ties - which underpin global money flows - has not