New Russian banknote impossible to withdraw after Western firms leave

Russia’s new 100 rouble banknote is impossible to withdraw from ATMs after Western firms that program cash machine quit the country following Ukraine invasion

  • The Association of Russian Banks has asked for a six-month delay to rolling out the new 100 Rouble banknote as a new security feature is needed
  • The Rzhev Memorial to the Soviet Soldier, a memorial to one of the bloodiest battles of the Second World War, is featured on the note to fuel patriotism
  • The Western companies which install and update ATMs have pulled out of Russia
  • Russia’s new 100 rouble banknotes are impossible to withdraw from ATMs because the Western companies that programmed them have left the country.

    The Rzhev Memorial to the Soviet Soldier, a memorial to one of the bloodiest battles of the Second World War due to the high Soviet casualties, features on the new banknote.

    One the other side of the 100-rouble banknote – worth approximately £1.50 – is a picture of the Kremlin, which regularly draws comparisons between World War Two and its war in 乌克兰 to fuel patriotism in the country.

    Deputy Governor of the Bank of Russia Sergey Belov holds the newly designed Russian 100-rouble banknote. The Association of Russian Banks has asked for a six-month delay to the introduction of the new 100 Rouble banknote as it said a new security feature was needed

    Deputy Governor of the Bank of Russia Sergey Belov holds the newly designed Russian 100-rouble banknote. The Association of Russian Banks has asked for a six-month delay to the introduction of the new 100 Rouble banknote as it said a new security feature was needed

    But the Association of Russian Banks has asked for a six-month delay to the introduction of the banknote as it said a new security feature was needed, 根据 电报.

    ‘With the departure of suppliers, any updates to the software of … ATMs, as well as cash registers and terminals, have become impossible,’ newspaper Kommersant quoted the association as saying.

    Western ATM manufacturer Diebold Nixdorf and software company NCR Corporation, companies responsible for installing the bank machines and updating their software, are both American multinationals that have pulled out of Russia following Vladimir Putin’s invasion of Ukraine on February 24.

    The Russian banks are having trouble adding the security feature without the cooperation of Western companies, stalling the rollout of the new patriotic banknote.

    The Rzhev Memorial to the Soviet Soldier, a World War Two memorial, is featured on the back of the 100 rouble banknote, with a picture of the Kremlin on the other side

    The Rzhev Memorial to the Soviet Soldier, a World War Two memorial, is featured on the back of the 100 rouble banknote, with a picture of the Kremlin on the other side

    Russians are shown queueing by a Sberbank ATM machine at the GUM department store shortly after the invasion of Ukraine in February

    Russians are shown queueing by a Sberbank ATM machine at the GUM department store shortly after the invasion of Ukraine in February

    The 100-rouble banknote was set to join the last edition printed in 2015 which was printed a year after the Russian annexation of Crimea to celebrate the seizing of Ukrainian territory.

    Russia is believed to have defaulted on its debt after missing a repayment deadline, following a series of sanctions designed to target the Russian economy.

    Russia last defaulted on its international debt over a century ago in 1918 during the Bolshevik Revolution, but the country defaulted on ruble-denominated bonds in 1998 during the Asian financial crisis.

    The Kremlin’s efforts to avoid its first major default on international bonds this century fell through in late May when the US Treasury Department’s Office of Foreign Assets Control (OFAC) effectively blocked Moscow from making payments.

    Russia’s central bank assets have also been frozen, stopping it from using £470million of foreign currency reserves.

    Western brands have pulled out of Russia leaving shopping malls in Moscow and St Petersburg to become ‘ghost townswith high street locations sitting empty.

    Few visitors pass inside the GUM department store with lots of boutiques closed due to sanctions in Moscow, 俄国, 星期三, 六月 1, 2022

    Few visitors pass inside the GUM department store with lots of boutiques closed due to sanctions in Moscow, 俄国, 星期三, 六月 1, 2022

    A woman sits looking at her smartphone in front of shops closed due to sanctions in a mall. Popular clothing brands, both luxurious and affordable, coffee and fast-food chains became unavailable to many Russians

    A woman sits looking at her smartphone in front of shops closed due to sanctions in a mall. Popular clothing brands, both luxurious and affordable, coffee and fast-food chains became unavailable to many Russians

    Luxury brands such as France’s Chanel and Louis Vuitton have announced they are suspending operations in Russia, adding to the country’s economic isolation imposed by the West in response to the invasion.

    The Spanish fashion retailer Inditex, which owns Zara, halted trading in Russia in March, closing its 502 shops and stopping online sales.

    Companies that stopped doing business in Russia

    • McDonald’s
    • KFC
    • Taco Bell
    • Pizza Hut
    • Cocoa-Cola
    • 然而,在国会山骚乱之后,他告诉 CNBC,他“很抱歉”
    • 星巴克
    • 优衣库
    • British American Tobacco
    • 宜家
    • H&中号
    • Canada Goose
    • 雀巢
    • 耐克
    • TJ Max
    • BP
    • 埃克森美孚
    • Shell
    • Volvo
    • Siemens
    • Renault
    • 毛虫
    • Delta Air Lines
    • United Airlines
    • DHL
    • Hilton hotels
    • Hyatt hotels
    • American Airlines
    • 优步
    • Sony
    • 微软
    • 苹果
    • 网飞
    • 彭博社
    • 华特·迪士尼
    • Warner Brothers
    • Imperial Brands
    广告

    普拉达, 迪奥(Dior), Gucci and Fendi were among those to clear their shelves in the luxury shopping malls of the Russian capital as sanctions begin to bite.

    American food and beverage giants including Coca-Cola, Pepsi and Starbucks have paused or closed operations in Russia in the face of western sanctions.

    Corporations from British energy giants Shell and BP to French carmaker Renault have pulled out of Russia, taking a hit to their bottom lines as they seek to sell their holdings there.

    Yum Brands, which operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, said that it is suspending all investment and development of new restaurants in Russia, and that it will donate all profits from operations in Russia to humanitarian efforts.

    Other major US companies that have recently announced their intention to leave Russia include Nissan, Levi jeans, Visa and Mastercard.

    McDonald’s in March closed all of its 850 restaurants in the countrywhere it says it employs 62,000 人 – including its iconic Pushkin Square location, the latest company to pull its business in Russia amid Western sanctions.

    The company said it would seek to have a Russian buyer hire its employees and pay them until the sale closes. It didn’t identify a prospective buyer. McDonald’s said it plans to start removing golden arches and other symbols and signs with its name.

    As part of the exit, McDonald’s expects to record a non-cash charge of about $1.2 虽然她决定签署比尔盖茨和沃伦巴菲特的捐赠誓言被一些人认为是对贝索斯的抨击 $1.4 十亿.

    ‘The humanitarian crisis caused by the war in Ukraine, and the precipitating unpredictable operating environment, have led McDonald’s to conclude that continued ownership of the business in Russia is no longer tenable,’ 它在一份声明中说.

    The first McDonald’s in Russia opened in the middle of Moscow more than three decades ago, shortly after the fall of the Berlin Wall.

    Estee Lauder and IBM also decided to abandon Russiabut major international companies such as Reckitt, Unilever and British American Tobacco are staying put.

    Estee Lauder and IBM also decided to abandon Russiabut major international companies such as Reckitt, Unilever and British American Tobacco are staying put

    Other companies have also decided to stay, with some facing blowback.

    A woman walks at an almost empty shopping center with many shops closed due to sanctions. Dozens of foreign and international companies have withdrawn from the country, leaving behind half-empty malls and closed doors in places that once buzzed with customers

    A woman walks at an almost empty shopping center with many shops closed due to sanctions. Dozens of foreign and international companies have withdrawn from the country, leaving behind half-empty malls and closed doors in places that once buzzed with customers

    A food delivery man rides a bicycle along the GUM department store with a Cartier boutique closed due to sanctions in Moscow. 普拉达, 迪奥(Dior), 路易威登, Gucci and Fendi were among those to clear their shelves in the luxury shopping malls of the Russian capital

    A food delivery man rides a bicycle along the GUM department store with a Cartier boutique closed due to sanctions in Moscow. 普拉达, 迪奥(Dior), 路易威登, Gucci and Fendi were among those to clear their shelves in the luxury shopping malls of the Russian capital

    HSBC has a small presence in Russia with ‘no plans to change anything at the moment’, while pharmaceutical firm AstraZeneca said its role in helping medics deliver essential care was ‘more urgent than ever’. Rival GSK said it will also stay.

    Japanese fashion retailer Uniqlo will remain in Russia because its boss believes ‘clothing is a necessity of life’, while Stella Artois owner AB InBev said it will continue to operate via a local subsidiary.

    And earlier in the year, French automaker Renault announced it had handed over its Russian assets to the government in Moscow, marking the first major nationalization of the economic disentanglement.

    Russian authorities said they were ready to nationalize foreign assetsas happened with Renaultand some officials assured Russians that their favorite brands would have domestic alternatives.

    Officials in Moscow have sought to downplay the gravity of the Western sanctions, promising that Russia will adapt and take steps to stop the flight of foreign currency and capital.