On Friday, the UAE Central Bank revoked the license for a branch of Russia’s MTS bank, awarded last year and was sanctioned by Britain and the US in February.
The Abu Dhabi-licensed bank would collapse within six months under central bank supervision.
“This decision comes after examining the numerous alternatives for the new status of the MTS Bank, and taking into consideration the sanctions risks related with the bank following the designation,” the statement stated.
The branch might use the central bank’s payment infrastructure to settle current commitments but not open new accounts or transact during the winding down process.
MTS Bank is MTS’ fintech subsidiary.
