Russian Deputy PM: Our Banks Are Ready To Turn Off SWIFT

Russian financial institutions are prepared to survive without access to SWIFT (The Society for Worldwide Interbank Financial Telecommunication) - the global dollar-based interbank payments network - should the US and European Union follow through with threats to cut it off, according to Deputy Prime Minister Arkady Dvorkovich.

"Certainly, it is unpleasant, as it will prove a stumbling block for companies and banks, and will slow down work. It will be inevitable to deploy some aged technologies for information transfer and calculations. However, the companies are technically and psychologically ready for the shutdown as this threat was repeatedly voiced," Dvorkovich said, according to TASS and RT, adding that such a dramatic step would negatively corporations doing business in the US and Europe.

"In general, disconnecting Russia from SWIFT would be a crazy step on the part of our Western partners. It is obvious that for the companies which work in Europe and the US it would be harmful. And this applies not only to the shutdown of the service," he said.

The US and European Union have been periodically threatening to disconnect Russia from SWIFT since 2014 (over SWIFT's own objections), when the conflict in Ukraine flared up and the two powers introduced the first round of international penalties against Moscow for its alleged involvement.

SWIFT

As a reminder, at the time, the MasterCard payment system stopped serving clients of seven Russian banks without warning after Washington imposed its first set of sanctions on Moscow in 2014. In response, the Russian government ordered the creation of a national payment system. With the support of the country's banking system, the Mir charge card was introduced in 2015, although there is no data on what its adoption rate has been in the following years.

This wouldn't be the first time the US has threatened to cut off a major ally from the international banking system (indeed, it's a threat frequently leveraged against nations, like Pakistan, which will be added to a list of terrorism financing nations).  Over the summer, it even threatened to expel China, it's largest trading partner, from using dollars if it didn't crack down on North Korea. In September, Russia received its latest SWIFT expulsion threat if it violated North Korea sanctions.

In 2017, Russia’s Central Bank Governor Elvira Nabiullina told President Vladimir Putin that Russia's banking sector had been provided with all the necessary conditions for operating lenders and payment systems in case of disconnection from SWIFT. According to the regulator, 90 percent of ATMs in Russia were ready to accept the Mir payment system, a domestic version of Visa and MasterCard.

SWIFT was famously the object of a hacking attack - since blamed on shadowy North Korean agents - that saw $81 million of reserves from the central bank of Bangladesh stolen from the New York Fed and transferred to Manila, where it was later traced to Macau and then vanished. No perpetrator has ever been identified.

Comments

Reichstag Fire Dept. JimmyJones Wed, 02/14/2018 - 10:14 Permalink

Has everyone forgotten that Russia has Ethereum?

That kid that invented it was talking to Putin about it in person some months ago...I'm positive I saw the story about that right here on ZH, fucksakes!

They literally do not need SWIFT anymore! 

Oh, and by the by, did you notice the crypto prices today...after Korea flip-flopped on Bitcoin?

+1 Jimmy Jones. 😉

In reply to by JimmyJones

pods Socratic Dog Wed, 02/14/2018 - 12:40 Permalink

That was my thought as well. Shut countries out of using a system based upon a highly inflating currency that shows now end in sight? In fact, the nation that sponsors that (private banker) currency is going to go full-retard and unload on a spending spree on guns AND butter like hasn't been seen in some time, right when their markets are going to take a nosedive, requiring even more units to be handed out by the central bank to shore up over-leveraged institutions?

People would be right to find a way out of the SWIFT system without being shown the door.  It's a system that will eat away at value and allows the sponsoring nation of the currency to do what it pleases as it's unit is needed for these transfers.

The only problem for those of us in the US is the government is dumb enough to light this fuse.

Fucktards one and all. Or it's some inter-dimensional chess that I haven't heard of.  The world is ready to give the USA a big fuck you for what it does, and all we can do is run around with the stick trying to beat more nations into submission.

We have a reckoning coming.

pods

In reply to by Socratic Dog

Bring the Gold pods Wed, 02/14/2018 - 13:43 Permalink

Don’t forget all the people blaming and wanting to punish the exact wrong group. News flash, poor people make about zero decisions. Things have gotten worse due to decisions ergo poor people are not to blame. Those to blame are the war mongering, currency destroying, constitution shredding elite. Yet even today I saw tons of fucktards hammering on about single moms and illegals as though they were anything more than a mere symptom. Poor people are trying to scrape by as medical costs, REAL food costs, rent and education prices soar. Meanwhile the top 0.01% is skimming almost 100% of growth. But yeah fuck the poor! Idiots pushing that idea will be on the wrong end of the pitchfork as the real decision makers are safely in Swiss chalets. 

In reply to by pods

TeethVillage88s pods Wed, 02/14/2018 - 14:03 Permalink

Interesting.  I only look toward Great Britain for example of how Empires die.  I am full of assumptions since I am not well read.  I assume there were main sources of money in Britain at the time of WWI... Britain had many colonies on 6 continents, so had to operate expensive system of controls to continue to extract profits.  At some point I assume the main sources of revenue were tired and stressed by demands for funding.  At some point I assume the funders dried up and this was common by the time WWI ended.

- But I don't know if the USA is restricted in anyway in creating new fiat out of thin air... if not this can get kicked down the road along with the Money printing by EU & Europe

In reply to by pods

SDShack Socratic Dog Wed, 02/14/2018 - 16:43 Permalink

Currency Wars are just the next stage of Resource/Trade Wars. All are examples of sociopaths turning on each other. Hot Wars are the final stage. There is a reason why the Petro$ is protected by the USSA Security State that is bigger then all industrial nations combined. We will know soon if the USSA can once again enforce it's Petro$ Will on the World, or if hubris gets the USSA over-extended and forced to retreat. A world wide Thunderdome Cage Match is being set up.

In reply to by Socratic Dog

Albertarocks DownWithYogaPants Wed, 02/14/2018 - 12:01 Permalink

"DownWithYogaPants The Alarmist Wed, 02/14/2018 - 10:38 Permalink

Regarding Ethereum and other cryptocurrencies: 

All good stuff but they have not been tested at the high level of SWIFT payment stresses. I doubt any state actors are going to go straight to crypto if their SWIFT payment system gets turned off. That would require an extensive testing period."

 

As I understand it, that's what Ripple does.  The banks are already using Ripple and it's lightning fast and is already doing SWIFT's work.  In fact I believe Ripple is a creation of the banking industry for just this purpose.

In reply to by DownWithYogaPants

Blankone JimmyJones Wed, 02/14/2018 - 10:19 Permalink

Not very believable yet.
We have been told China would start trading oil outside the dollar many time only to find it could not. A special deal was struck with Russia to do so but then China couldn't even trade outside the dollar with Iran.
Then we were told China was "about" to start a new exchange for all oil to trade outside the dollar. But it has not.

We were also told China was about begin trade other than oil outside the dollar and without SWIFT. But so far that has fallen on it's face.

Then we were told multiple times that Russia has developed a new russian SWIFT - only to find out Russia had simply developed a system where Russian banks IN Russia could communicate with each other.

So, based upon past claims I doubt Russia has developed a system for international trade that functions. Or that does not use the dollar. If Russia had such a system it would be foolish NOT to use it NOW. It would be important to remove Russian trade from the dollar as anyone with a clue knows the dollar as global reserve is the real power of the US economy and military. To trade in the dollar when russia could do otherwise just supports their enemies power base.

In reply to by JimmyJones

Winston Churchill Blankone Wed, 02/14/2018 - 10:29 Permalink

Both require the Chinese Russian energy pipelines to be fully operational and pumping before

making the move.The terrain makes the Alaska pipelines look easy,  and how late were they ?

Trying to get info on that progress is harder than getting a FedRes audit right now, but that's why the yuan oil

futures keep getting delayed.Until real oil is available to back them,its subject to financial attack by

the usual suspects.

In reply to by Blankone

Give Me Some Truth Blankone Wed, 02/14/2018 - 12:52 Permalink

Yep. If they could do it, they would have already done it. Still, I think it's pretty clear at least two nations (Russia and China) would like to do this (kill the dollar as the world's reserve currency).

The Swamp's printing press - and the printing presses of all The Swamp's closest allies - depend on fiat remaining king and America's fiat paper being the king of kings.

I think this goes without saying (but I'm going to keep saying it).

In reply to by Blankone

RationalLuddite SDShack Wed, 02/14/2018 - 19:01 Permalink

+10 

Takes a lot of life experience to instantiate this wisdom.  Hard to believe,  but narcissism and envy will readily destroy themselves  so long as they pull their hated ones down too. Nietzsche would concur.  The reserve currency counterfeiting countries and their mistresses whom have all ysed tgeir easy net energy reserves know that it's all or nothing for them now. Zero-sum game. Deep State in particular is a monkey with a powerful, hairtrigger handgun. Trying to disarm that is very,  very difficult.

May take another decade,  but this ain't gonna end well unless brilliantly played by China and Russia et al.

In reply to by SDShack

HRH of Aquitaine 2.0 Philo Beddoe Wed, 02/14/2018 - 08:28 Permalink

Don't even try bringing up BIS, or the US dollar as the current world reserve currency. People will look at you like you grew another head. The Internet is cheap. The information is available for those willing to make an effort to learn. Wiki pages for the basics. Not hard. But it does require effort. I am not special. Anyone can learn what I have learned.

Link to the BIS wiki page: https://en.m.wikipedia.org/wiki/Bank_for_International_Settlements

In reply to by Philo Beddoe

MoralsAreEssential JimmyJones Wed, 02/14/2018 - 17:01 Permalink

Apparently, the Ashkenazi have decided that the Ukraine not Israhell, which of course they are planning to have blown up, is their real new home as you probably are familiar with maps showing old Khazaria empire.  So THIS was what the Ukraine coup d'etat engineered by Ashkenazi Nuland was really about.  As I have come to believe, there is no difference between Nazis and Ashkenazi Zionists who funded the WWII Nazis and used their own unconnected Jews as sacrifices for the Holohoax.  This explains the very confusing events as to why a Jewish person, Nuland, would back Ukrainian Nazis for government positions.

In reply to by JimmyJones

MEFOBILLS valjoux7750 Wed, 02/14/2018 - 11:56 Permalink

If I'm not mistaken Patton was referring to Russia as being the true enemy not the jooo.  Stop with the disinfo

You stop with the disinfo.

At that point in time, Russia had already been parasitized with Bolshevism.  Churchill later said that "Russia" had been grabbed by her short-hairs. Churchill would know.

If a virus invades your brain, do you function normally? 

Churchill had been compromised with "loans" for his estates.  FDR was compromised too.  FDR was surrounded by Zion - even FDR's funeral had the usual suspects show up in secret Cabala style.

It took Stalin some years to effect his "parasite removal" programs, which occurred mostly post WW2.  When Stalin killed Trotsky and nationalized Trotsky's private "wall street" bank, it was Stalin's first attempt at removing the joo from power in Russia, but Stalin's efforts didn't work right away.

In reply to by valjoux7750

Volkodav MEFOBILLS Wed, 02/14/2018 - 12:14 Permalink

     Not exactly...Stalin was married one

     Brother in law dynamited Christ's Cathedral to the ground

     Check list of Gulag Administrators thru Stalin..

     even wiki showed name list....none are Russian

     Stalin just eliminated those threats, real or imagined

     Read Solzhenitsyn

    

In reply to by MEFOBILLS

WernerHeisenberg MEFOBILLS Wed, 02/14/2018 - 12:18 Permalink

"where, although room existed, the Jews were crowded together to an appalling extent, and in practically every room there was a pile of garbage in one corner which was also used as a latrine.The Jews were only forced to desist from their nastiness and clean up the mess by the threat of the butt ends of rifles. Of course, I know the expression 'lost tribes of Israel' applied to the tribes which disappeared -- not to the tribe of Judah from which the current sons of bitches are descended.However, it is my personal opinion that this too is a lost tribe -- lost to all decency." - Patton

There is much more like this

In reply to by MEFOBILLS