European banks have joined Wall Street in allowing clients to trade Russian debt once again after the US Treasury gave the green light last month for investors to wind down their positions.
The global market for Russian sovereign and corporate bonds froze in June after US investors were banned from buying Russian securities on the secondary market as part of the west’s sanctions against Moscow following its invasion of Ukraine.
But the Treasury’s Office of Foreign Assets Control — which enforces sanctions in the US — opened a three-month window on July 22 for banks to help investors who had been left holding Russian bonds to wind down their positions. European regulators have also made it easier for banks to help clients reduce their exposure.