Based in Belgium, SWIFT is an acronym for Society of Worldwide Interbank Financial Telecommunication.
Doesn’t it sound intriguing?
What I am about to tell you is the most common thing you must have noticed but have never questioned the process. Now each time you make a payment do you realize that there is a message sent to the device from which the payment is being made to any bank account of any bank, that message is generated by SWIFT which ensures the safety of the message links and the payment procedures. Almost every country throughout the world relies on SWIFT, which is a Russian product. Had it not been Russia who decided to come up with this security feature we would not be able to make any secure payment throughout the world.
The swift code is also known as the Bankers Identifier Code (BIC) is assigned to every financial institution in order to make secure transactions. It is not only the Russian banks that rely on the given Swift code or swift but every financial institution depends thoroughly on the presence of Swift. And this would be the reason why cutting off Russian from the Swift chain has proved to be the most threatening move in order to weaken Russia in the given scenario.
On Thursday (February 24) UK Prime Minister Boris Johnson outlined that as part of its “relentless mission to squeeze Russia from the global economy”, proposals to cut Russia off from SWIFT are “not off the table”.
There are talks that are addressing the ban of Russia from SWIFT which will not only change the routes of the countries in a financial world but also it will enrage Russia and hereby force them to act even more rebellious than what they are doing currently.
This is not only one reason but Russia will also lose forty percent of its profit that is earned by using Swift through the international transactions, this will lead Russia to come down in the financial chart worldwide. This is not only leading the condition of the country to deteriorate but also there will be even more reasons for the carry forward of the possible World War III.
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