TBILISI, October 23 – Georgia’s banks will play by the rules after Washington slapped sanctions on Russia’s two biggest oil producers, Rosneft and Lukoil, and 34 of their subsidiaries.
Natia Turnava, president of Georgia’s National Bank, said on Thursday that the country’s lenders “fully observe international sanctions” and that in this case “we will act accordingly,” adding she expects “no complications.”
Georgian banks have not recorded a single violation in roughly three years of sanctions enforcement, she noted.
The U.S. Treasury framed the sanctions as a way to put pressure on Russia’s energy sector to curb revenues that support the war effort in Ukraine.
Brussels meanwhile pushed ahead with its 19th sanctions package targeting Russian finance and trade, while also flagging restrictions linked to LNG and certain non-EU companies. European Commission President Ursula von der Leyen called it a “clear signal” from both sides of the Atlantic to keep up “collective pressure.”
Ukraine’s President Volodymyr Zelensky said the measures send a “clear signal” that prolonging the war carries a cost and thanked the U.S. for its leadership, while London also welcomed the move. UK Prime Minister Keir Starmer said he was “glad the U.S. has joined us” after Britain sanctioned the same two oil giants last week. In Washington, President Donald Trump said the new measures are “massive” and will have an impact, while Secretary of State Marco Rubio said the U.S. still wants talks with Moscow despite the sanctions.
Moscow and Beijing have both pushed back against the latest wave of sanctions. Russia’s Foreign Ministry spokesperson Maria Zakharova claimed the steps won’t create “special problems,” saying Russia has built “strong immunity” to Western limits. China’s Foreign Ministry said it opposes unilateral sanctions not authorized by the UN Security Council.
Lukoil’s Georgian subsidiary recorded record revenues in 2024, with 762.5 million lari (about USD 280 million), up by roughly 279 million lari from the previous year. Net profit nearly doubled to 35.5 million lari. The company operates 60 fuel stations across Georgia.
