MOSCOW, Feb 26 — Russian banks reacted yesterday to sanctions imposed over Russia’s invasion of Ukraine, some trying to reassure clients and one protesting the punitive measures against it.

The United States has announced severe economic penalties against Russia for sending troops into neighbouring Ukraine.

The European Union has also approved a broad package of measures intended to hammer Russia’s financial, energy and transport sectors, and curb the ability of Russians to keep large amounts of cash in EU banks.

In a joint statement, the Sberbank, VTB, Alfa Bank and Otkrytie — some of Russia’s largest banks — said they would stand together to ensure "the uninterrupted functioning of the whole financial market”.

"We have enough liquidity to meet demand, there are no restrictions on cash withdrawals, whether from cash machines or at bank branches,” they said in a statement, despite AFP reporters seeing queues forming outside banks in Moscow yesterday and reports of several ATMs running dry.

"Amid sanctions, we are coordinating our work and, with the Central Bank, are ensuring uninterrupted... operations,” they added.

The head of VTB, Andrey Kostin, made a rare direct plea to clients after Visa and Mastercard cards it had issued stopped working abroad.

"Over the past years, we have learnt to live and act under constant pressure from sanctions. We know what we need to do and have already started to implement the plan,” he said.

But Ozon, a top e-retailer, protested at its bank branch, Ozon Bank, being added to a US sanctions list.

The US Treasury listed the bank for being a subsidiary of Sovcombank, which was also sanctioned.

Ozon said it had bought up 100 per cent of the capital of Oney Bank, a subsidiary of Sovcombank.

"Once the deal was concluded. Oney Bank ceased to be affiliated to Sovcombank and was renamed Ozon Bank,” it claimed. — AFP