Economics
Wall Street Counsels Washington Against Kicking Russia Off SWIFT
- JPMorgan, Citigroup see possibility the move would backfire
- Secondary sanctions on Russian banks seen as best alternative
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Some of Wall Street’s largest banks told lawmakers and the Biden administration that kicking Russia off the SWIFT financial-messaging system would have far-reaching fallout that could hurt the global economy and undermine the purpose of the penalties, people familiar with the matter said.
Firms including JPMorgan Chase & Co. and Citigroup Inc. suggested Washington stick with other types of sanctions to punish Russia for invading Ukraine, the people said, asking not to be identified discussing private talks. Other banks with less international exposure were more receptive to the idea, telling officials that it would be a manageable step. Representatives from the banks declined to comment.