Gazprombank reports UnionPay card usage issues following US sanctions

Gazprombank has alerted its customers to disruptions in using UnionPay cards abroad, following sanctions imposed by the United States.

The bank advised clients to rely on cash for transactions while it resolves ongoing difficulties that have affected multiple countries, including Türkiye, since Nov. 21.

UnionPay card usage affected in Türkiye, 10 other countries

Customers in Türkiye, the United Arab Emirates, Germany, Qatar, Kazakhstan, Hungary, Vietnam, Thailand, Tunis, Uzbekistan, South Africa and South Korea reported that local banks have stopped servicing UnionPay cards issued by Russia’s Gazprombank.

Users have reported being unable to withdraw cash or complete card payments. Many ATMs display error messages instructing users to contact Gazprombank.

Reports also indicate that some cardholders were unable to use UnionPay cards for purchases at retail stores. Despite these challenges, money transfer functions through Gazprombank’s online banking application remain active for now.

US sanctions target Gazprombank, subsidiaries

The United States imposed sanctions on Gazprombank and six of its international subsidiaries on Nov. 21, freezing their U.S.-based assets and prohibiting financial transactions with American entities.

The sanctions were implemented because of the bank’s alleged role in facilitating payments for Russian gas exports and providing financial support for Russia’s invasion of Ukraine.

Gazprombank also warned customers that its mobile app is no longer available on Apple devices, including iPhones, within regions like Türkiye.

Gazprombank responds with temporary measures

In response to these restrictions, Gazprombank recommended clients access its services through web-based banking platforms. While the app is no longer functional, the bank assured customers that its browser-based online banking remains operational.

However, these measures have done little to ease concerns among clients in Türkiye and elsewhere about accessing their funds during this period of uncertainty.

Sanctions, energy disruptions

Russian officials, including Kremlin spokesperson Dmitry Peskov, criticized the sanctions as an attempt to hinder Russian gas exports to Europe.

While alternative payment methods are reportedly under development, Peskov acknowledged that implementing these measures may take time.