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European Union·Kazakhstan·Russia·Sanctions·Technology·Armed Conflicts

EU targets Kyrgyzstan with sanctions tool over Russia cryptocurrency evasion

Friday, 24 April 2026, 06:33 · 1 min read

The European Union has deployed a sanctions "anti-circumvention tool" against Kyrgyzstan (a Central Asian nation that shares close economic ties with Russia) for the first time, restricting exports of certain high-technology goods in response to the country's alleged role in helping Russia bypass Western sanctions. At the centre of the controversy is A7A5, a ruble-pegged cryptocurrency stablecoin linked to the sanctioned Russian bank Promsvyazbank, which has processed more than $100 billion in transactions and moves over $1 billion per day, providing a channel for sanctioned Russian individuals and entities to access the broader financial system. In the UK, more than 20 MPs and peers have separately urged the foreign secretary to impose personal sanctions on three senior Kyrgyz officials — the heads of the central bank, financial regulator, and general prosecutor's office — warning that Kyrgyzstan's hosting of A7A5 infrastructure is helping finance Russia's war in Ukraine.

Sources
The DiplomatEU Aims Sanctions ‘Anti-circumvention Tool’ at Kyrgyzstan ↗︎The GuardianTake action over officials in Kyrgyzstan ‘helping Russia evade sanctions’, MPs and peers say ↗︎
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