The United Kingdom is set to revoke its recognition of the Moscow Stock Exchange as part of its latest sanctions on Russia for its invasion of Ukraine, Bloomberg reported.
- Under the announcement, investors trading securities on the MOEX will no longer be able to access several tax benefits in the United Kingdom, but existing investments will be protected.
- Financial Secretary to the Treasury Lucy Frazier said the development sends a clear message that “there is no case for new investments in Russia” and is in line to isolate Russia even further.
- The UK said the move is in response to restrictions that the Bank of Russia imposed on foreign investors and the MOEX ban on brokers from selling assets at the instruction of non-Russian residents.
- The HM Revenue and Customs also launched two-week consultation, which will cover the draft revocation order. It is seeking comments from the public before the decision is made final. EWU is down 0.06%, while EZU is up 0.05%.