Russia's VTB bank now offers accounts in Chinese Yuan
2 Min Read
China and Russia collaborate to curb US economic aggression.
-
Russia's state-owned VTB bank is finding its way around US sanctions.
The state-run Russian VTB Bank which has been sanctioned by Washington has released a decision to provide users with the option of opening an account in Yuan, the Chinese currency, with a maximum interest rate of 8%.
China has been working to protect its interests in Russia against the effects of draconian sanctions on the country.
The bank, in a statement, said "in light of the rising dollar and euro exchange rates, many clients are showing interest in investing in other currencies, and the yuan is one of the most affordable and promising options for investing funds."
Read more: China's tools to help Russia's economy
Users can open deposit a minimum of $16, or 100 Yuan, on VTB online. However, at VTB branches, there should be a minimum deposit of 78$, 500 yuan, according to the bank's statements.
The new offer, according to the bank, is the most profitable alternative to deposits in foreign currencies.
Over the past week, customers have invested $15 billion in traditional savings products, which amounts to more than a trillion rubles. A six-month deposit, if made in Russian rubles, can yield 21% annually.
This adaptation comes after US President Joe Biden signed an executive order earlier this week to ban the supply of dollars to Russia.
Read more: No one wants anti-Russian sanctions, they affect everyone: NATO chief
Biden's order forbids “the exportation, re-exportation, sale, or supply, directly or indirectly, from the United States, or by a US person, wherever located, of US dollar-denominated banknotes to the government of the Russian Federation or any person located in the Russian Federation."
Earlier this month, the European Union banned the export and import of Euro banknotes to Russia with the exception made for people arriving in Russia, diplomatic missions, and international organizations.
