EU sanctions against two Kyrgyz banks have officially taken effect

As of May 14, 2026, European Union restrictions against “Keremet Bank” and “Capital Bank” officially entered into force.

Both banks were included in Part B of Annex XIX to Decision 2014/512/CFSP as part of the 20th package of EU sanctions against Russia. The measures impose a ban or significant restrictions on transactions with individuals and companies from EU countries.

This primarily concerns risks to international settlements, correspondent banking relationships, and transactions with European counterparties. The EU also pointed to possible links with alternative Russian payment infrastructure, including the SPFS system.

At the same time, the financial statements published in April show that both banks continue to report profits and maintain high capital levels.

Thus, Capital Bank’s net profit for January–April 2026 amounted to 104.7 million KGS, compared to 46.2 million a year earlier. The bank’s assets reached 77.47 billion KGS, increasing nearly 12-fold compared to April 2025.

At the same time, the bank maintains a high capital buffer: the total capital adequacy ratio stood at 102.3%, compared to the minimum required 12%.

Keremet Bank also ended the first four months of the year with a profit. According to the financial statements, the bank’s net profit amounted to 192.4 million KGS, compared to 166.9 million a year earlier. The bank’s assets reached 100.2 billion KGS as of the end of April.

Keremet Bank’s customer deposits totaled 2.57 billion KGS. The bank’s equity exceeded 9.58 billion KGS.

Both banks had previously been subject to UK restrictions. Keremet Bank has been subject to these restrictions since February 2025, and Capital Bank since August 2025.