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Visa Chairman Explains Company Suspending Transactions in Russia

Visa Chairman Al Kelly just explained the company’s move to suspend transactions in Russia following its invasion of Ukraine.

What You Need to Know

  • Visa announced on Saturday that they’re suspending business in Russia.
  • Visa isn’t alone. Mastercard is doing the same.
  • No Visa card will work in Russia.
  • General Motors, Shell, BP, and Maersk are also amongst the companies that have taken action against Russia.
  • Joe Biden, Meanwhile has asked Congress for $10 Billion in aid.

The Visa Chairman Said the Company Felt ‘Compelled to Act’

Today, Saturday, March 5th, Visa announced they are suspending business and transactions in Russia. According to FOX Business, Visa Chairman Al Kelly explained that the company felt “compelled to act” following Russia’s “unprovoked invasion of Ukraine” and noted the “unacceptable events that we have witnessed.”

Of course, this decision doesn’t come without a cost to Russian citizens. Kelly made a note of that, but said that the company has to act “in line” with its values.

“We regret the impact this will have on our valued colleagues, and on the clients, partners, merchants, and cardholders we serve in Russia,” Kelly noted. “This war and the ongoing threat to peace and stability demand we respond in line with our values.”

Visa also released a statement about this decision in a press release.

“Effective immediately, Visa will work with its clients and partners within Russia to cease all Visa transactions over the coming days,” Visa said. “Once complete, all transactions initiated with Visa cards issued in Russia will no longer work outside the country and any Visa cards issued by financial institutions outside of Russia will no longer work within the Russian Federation.”

Visa is a Part of a Growing List of Companies Suspending Opperations in Russia

Visa is not alone in this action. Fellow credit company Mastercard also announced today that they are suspending their operations in Russia due to the “unprecedented nature of the current conflict.”

Credit companies aren’t the only ones either. Companies like Shell, BP, General Motors and Maersk have all taken action against Russia.

Meanwhile, Joe Biden has asked Congress for $10 billion in aid. They’ve hit a few road bumps, but the White House is confident Congress will approve the request.

This comes as the Russian Invasion of Ukraine continues to worsen. The resulting humanitarian crisis has displaced over 1 million people, marking the largest and fastest displacement pattern since World War II. The UN recorded 1,085 civilian casualties in Ukraine between February 24th and yesterday, March 4th. However, they note that this number is likely significantly higher.