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There is a lot of pressure put on Germany right now regarding SWIFT. The exclusion from SWIFT will hit Germany hard, as it will also mean the end of gas delive
by turbinerneiter 5y ago
There is a lot of pressure put on Germany right now regarding SWIFT.
The exclusion from SWIFT will hit Germany hard, as it will also mean the end of gas delivery. The resulting outages, rising gas prices, the profiteering of the new gas vendors will also have an affect of public support for the sanctions.
It will also be a boost for the alternative systems, that China already built.
In the end, this might backfire really hard.
I do however also not have any better ideas. I'm happy that I'm not the one having to make that decision.
- asplake 5y agoI don’t believe that removal from SWIFT means an end to payments. Much more likely it makes the process considerably more manual, still worthwhile for larger trades. Really it’s the hit to the volume of trades that does the damage. However, they might have to rely on the two parties (or their banks) having a bank in common. That gets harder as the banks themselves get sanctioned. Edit: see correspondent bank https://en.m.wikipedia.org/wiki/Correspondent_account https://en.m.wikipedia.org/wiki/Correspondent_account (13 years out of investment banking on the technology side. Never touched SWIFT directly but was involved in more than one in multi-bank project)