The European Union imposes new sanctions on Belarus
Sanctions mean new trade restrictions with our eastern neighbour but they apply only to selected strategic goods and trade relations with the government and its entities.
The new sanctions that were imposed by the European Union on Belarus on 21st and 24th June extend the list of persons and companies subject to restrictions and prohibit firms from the EU to export to this country any equipment, technology or software intended to monitor or intercept communications on the internet and telephone communications; export Dual-Use Goods and technology used for military purposes; they also impose further restrictions in trade in goods used in the production or manufacture of tobacco products. At the same time, the EU decision restricts access to the EU’s capital markets to the Belarusian government and the financial institutions controlled thereby and also prohibits the provision of insurance and reinsurance to the Belarusian government and its public bodies and agencies.
In view of the above, below is a list of the effects of these regulations on businesses and banks that are clients of KUKE:
- KUKE may still provide export credit insurance to Polish firms remaining in business relations with Belarusian counterparties that have not been included on the list of persons and entities subject to restrictive measures and are not engaged in the marketing of products targeted by the sanctions;
- KUKE shall not insure the receivables of Polish firms performing contract work for the Belarusian government and its public bodies and agencies;
- KUKE shall not engage in insuring commercial transactions concerning the products and sectors of the Belarusian economy to which the extended sanctions apply, that is: equipment, technology or software intended to monitor or intercept communications on the internet and telephone communications; the export of Dual-Use Goods and technology used for military purposes; goods used in the production or the manufacture of tobacco products;
- KUKE shall not insure new financing in the form of loans or letters of credit granted to Belarusian banks controlled by the state.
We shall inform of any changes in the position of KUKE, in alignment with the regulations concerning the sanctions.
In all cases where there is doubt, please contact a KUKE representative.