ALBAWABA - U.S. officials anticipate that prosperous nations of the Group of Seven (G7) will issue a strong new warning to smaller Chinese banks within the next week, urging them to cease helping Russia defy sanctions imposed by the West, Reuters reports citing a U.S. official engaged in event preparation and another person informed on the matter.
Leaders attending Prime Minister Giorgia Meloni's June 13–15 conference in Italy are expected to discuss the problem of Chinese banks and the dangers of growing Chinese–Russian commerce to the conflict in Ukraine, these discussions are expected to produce public declarations of warnings.
The US and its G7 allies, including Canada, Britain, France, Germany, Italy, and Japan are not anticipated to impose any immediate sanctions on any banks at the meeting, such as denying them access to the dollar or limiting their ability to use the SWIFT messaging system.
As the negotiations are still ongoing regarding the exact details and wording of the warning, Reuters’ sources believe that the nations would concentrate on the issue of smaller firms rather than the biggest banks in China.
Daleep Singh, deputy national security adviser for international economics, said that “our concern is that China is increasingly the factory of the Russian war machine. You can call it the arsenal of autocracy when you consider Russia's military ambitions threaten obviously the existence of Ukraine, but increasingly European security, NATO and transatlantic security,” according to Reuters.
The US is also anticipated to push for a $50 billion in loans to Ukraine derived from frozen Russian assets, citing “dire situation”, according to a report by CNN, though a final agreement on the matter has not been reached yet and a discussion is expected during the G7 summit.
