Senate approves end of Czech membership in Soviet era banks

The Czech Republic can end its membership in the International Investment Bank (IIB) and the International Development Cooperation Bank (MBHS), the Czech Senate ruled on Thursday.

The lower house of Czech Parliament approved the withdrawal at the end of March, citing Russia’s attack on Ukraine and the option that these banks could give the aggressor state the chance to bypass sanctions.

The Czech Republic will cease to be a member of both institutions following the standard six-month notice period.

According to Finance Minister Zbyněk Stanjura, two-thirds of member countries have decided to leave MBHS, including Slovakia, Poland, Romania and Bulgaria.