EU may impose sanctions on Kyrgyz banks

The European Union has proposed expanding sanctions against Russia by adding two Kyrgyz banks — Keremet Bank and Kapital Bank Central Asia OJSC — to its sanctions list, Reuters reported, citing a draft document.

According to the proposal, the restrictions are linked to the provision of cryptocurrency services to Russia. If approved, the banks would lose the ability to conduct transactions with companies and citizens of EU member states. The list may also include banks from Laos and Tajikistan, while it is proposed to remove two Chinese banks from the list.

The measures are part of the EU’s 20th sanctions package, prepared by the European External Action Service in cooperation with the European Commission and submitted to EU member states. The package must be approved unanimously by all member states before it can enter into force.

The EU is also proposing sanctions against ports in third countries involved in transshipping Russian oil. Georgia’s Kulevi port and Indonesia’s Karimun port may be added to the sanctions list. This would mark the first time the EU imposes restrictions on ports in third countries.

The draft also includes sectoral restrictions, including a move toward a full ban on maritime transport of Russian oil sold above the G7 price cap. In addition, the EU is considering expanding bans on the import of metals and raw materials.

A separate provision outlines the application of mechanisms to counter sanctions evasion.

In particular, the EU is considering banning the supply of metal-cutting machines and telecommunications equipment — such as modems and routers used for transmitting audio, video, and data — to Kyrgyzstan.

As part of expanded personal sanctions, the EU is proposing to add 30 Russian individuals and 64 companies, including Bashneft and several oil refineries, to the sanctions list.

Previously, companies from several countries, including Kyrgyzstan, were suspected of helping Russia circumvent sanctions and were placed under EU and US restrictions. In October 2025, the EU added two banks — Tolubay Bank and Eurasian Savings Bank — to its sanctions list. In February 2025, Keremet Bank, which had already been listed by the United States, was also placed under UK restrictions. Several companies from the Kyrgyz Republic have also faced sanctions.