TradeXBank, the successor bank of Russia’s Sberbank (Schweiz) AG, has been given the green light to resume operations in US dollars by the US Treasury Department’s Office of Foreign Assets Control (Ofac). This decision comes after Ofac removed TradeXBank’s predecessor bank, Sberbank, from its sanctions list for Russia. Following the Russian attack on Ukraine in February 2022, Sberbank was sanctioned by the US, leading to implications for its subsidiary bank in Switzerland.

TradeXBank specializes in trading raw materials like energy, agricultural products, fertilizers, and metals. The Swiss bank was eventually sold to the Geneva-based investment company m3 Groupe Holding SA under supervision from Swiss Financial Market Supervisory Authority (Finma). The bank was rebranded as TradeXBank and continued to operate in European, Middle Eastern, and African markets. Despite some US sanctions remaining in place that prevented TradeXBank from conducting transactions in US dollars, it managed to stay profitable and retain its loyal clientele with euros and Swiss francs.

The process of getting TradeXBank off the sanctions list was a lengthy and complex one that involved cooperation with law firms in Washington to demonstrate independence from its Russian parent. With the removal of sanctions, TradeXBank is now able to resume operations in US dollars, which is expected to boost its growth prospects. The bank has retained a significant portion of its staff from its Sberbank days with a focus on serving clients in the raw materials trading industry. Overall, this successful transition marks a significant milestone for TradeXBank and allows it to operate freely in international financial landscape once again.