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Bereke bank will not issue cash from Myr cards of some banks

04.03.2023
Bereke bank will not issue cash from Myr cards of some banks

Kazakhstan’s Bereke bank, formerly owned by Sberbank, will stop issuing cash from Mir cards of Russian banks that have fallen under US sanctions from March 6, it was reported vc.ru in the bank’s support service.

The restrictions affected banks under US blocking sanctions. However, if the company is also under the restrictions of the European Union, the UK and other countries, problems may also arise, the support service added.

Previously, Bereke bank ATMs accepted Mir cards and issued tenge when withdrawing from ruble accounts.

From March 6, 2023, Bereke bank will stop accepting incoming and outgoing payments and transfers in any currency from/to Sberbank, its subsidiaries and branches. From the same date, transfers by phone number to Russia will be unavailable, this can only be done using account details.

“Sber” sold its Kazakh “daughter” to the Baiterek holding in early September last year. After that, the bank changed its name to Bereke Bank. The new owner of the credit institution also filed a package of documents with the US Office of Foreign Assets Control (OFAC) on lifting sanctions against the bank. According to The Wall Street Journal and Reuters, the US authorities have agreed to lift the restrictions, they will cease to operate from March 6.

In September last year, Kazakh banks stopped accepting Mir cards after the US Treasury issued an explanation in which it warned that organizations working with the operator of these cards “risk supporting Russia’s efforts to circumvent US sanctions.” In December, OFAC allowed Kazakh banks to make transactions on Mir cards for individuals. At the same time, operations through the Mir system will remain under the special control of the US Treasury, the Agency for Regulation and Development of the Financial Market of Kazakhstan noted.

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