Mastercard Bans Several Russian Financial Institutions from Its Network

Mastercard announced late Monday that it has banned several financial institutions from its payment network as a result of sanctions imposed on Russia. The company stated that it will continue to work with regulatory bodies to ensure full compliance. Financial markets around the world are experiencing turmoil and volatility amid escalating tensions in Russia and rising commodity prices, particularly oil. However, the Russian market, which is trying to conceal its collapse, remains the biggest loser. Oil prices surged on Monday after Western allies imposed additional sanctions on Russia and isolated some Russian banks from the global payment system, which could severely disrupt its oil exports. Jim Ritterbusch, president of Ritterbusch and Associates in Galena, Illinois, said, "The supply crunch in the global oil market could become more pronounced following last week's Russian actions in Ukraine." Russia is facing a severe disruption in its exports of all primary commodities, from oil to grains, after Western countries imposed strict sanctions on Moscow and removed several Russian banks from the international SWIFT payment system.