[Georgian Bank Implements €300 Spending Limit for Russian Customers on Luxury Purchases Globally]
May 22, TASS reported that the largest bank in Georgia, "Bank of Georgia," announced that starting May 21, it would impose a global spending limit on luxury purchases for Russian citizens holding cards issued by the bank. This is the first case globally where a card-issuing bank (not merchants) directly monitors and enforces luxury purchase limits.
--Limit Standard: The single transaction amount for Russian cardholders purchasing luxury goods worldwide must not exceed €300 (or equivalent $300 USD/GBP).
--Legal Basis: Fulfillment of sanctions obligations to the US, UK, and EU (the 2022 EU ban on luxury goods exports to Russia).
--Scope of Application: All luxury store transactions worldwide.
The Georgian Bank stated that the enforcement of this limit is based on "cooperation with the sanctions obligations that Georgia should fulfill as an EU candidate country" (note: the country's accession negotiations were suspended starting summer 2024). The Russian Foreign Ministry previously warned that any sanctions against Russia would significantly impact the development of relations between Russia and Georgia.
According to the revised Article 833/2014 of the EU regulations, since 2022, the export of luxury goods priced over €300 (including cars and jewelry) to Russia has been prohibited.
Original Source: https://www.toutiao.com/article/1832884639190028/
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