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Russia Demands SWIFT Reconnection as Condition to Revive Black Sea Initiative
Russia has set forth a key demand for the restoration of the Black Sea Initiative—reconnecting its Agricultural Bank, Rosselkhozbank, to the SWIFT financial system. This request, which falls under the jurisdiction of the European Union (EU), comes amid ongoing negotiations between global powers on the war in Ukraine.
Partial Ceasefire and Black Sea Security Agreement
Following recent talks in Saudi Arabia, the United States announced that Russia and Ukraine had agreed to a partial ceasefire specifically covering energy facilities. While this fell short of the broader ceasefire pushed by former President Donald Trump, the parties also agreed on measures to ensure the safe navigation of commercial vessels in the Black Sea and to prevent their use for military purposes.
However, the Kremlin quickly detailed additional conditions, demanding the lifting of sanctions on food exports, fertilizers, agricultural machinery, and cargo insurance. Most notably, Russia is insisting that Rosselkhozbank and other financial institutions involved in agricultural trade be reinstated on SWIFT, a global messaging system that facilitates secure financial transactions.
EU’s Role and Sanctions History
SWIFT, headquartered in Belgium, falls under EU regulations. In response to Russia’s invasion of Ukraine, the EU removed several Russian banks from SWIFT in 2022, including Sberbank, Credit Bank of Moscow, and Rosselkhozbank. The exclusion was a significant blow to Russia’s financial system, as it restricted the country’s ability to conduct international transactions.
Rosselkhozbank, a state-owned institution, plays a critical role in facilitating payments for Russia’s agricultural exports, a major revenue source through the global sale of wheat, barley, and corn. While the EU has not directly sanctioned Russian agricultural exports, the banking restrictions have complicated payments for these transactions, leading to the collapse of the initial Black Sea Initiative brokered by Turkey and the United Nations.
Diplomatic Tensions and Uncertain Outcomes
The demand to reinstate Rosselkhozbank puts the EU in a difficult position. Granting this request could signal a willingness to make concessions, potentially encouraging Russia to seek further sanctions relief. However, refusing it could provoke tensions with the Trump administration, which is eager to secure a ceasefire.
President Volodymyr Zelenskyy has consistently opposed easing sanctions, arguing that they must remain in place until Russia ends its military aggression. European Commission President Ursula von der Leyen echoed this stance, stating that sanctions would only be lifted after Russia takes concrete steps toward peace.
As EU sanctions require unanimous renewal every six months, any member state could disrupt the process. Hungary, which has previously expressed opposition to sanctions, could leverage this situation to push for changes when restrictions are up for review on July 31.
Future of SWIFT and Global Financial Pressures
While the EU holds the power to reinstate Rosselkhozbank’s SWIFT access, the U.S. could signal leniency by ensuring that those engaging with the bank avoid legal repercussions. Analysts suggest that Russia’s demand may be a strategic move to test both Washington and Brussels, pressuring the EU to reconsider its stance on financial restrictions.
For now, the EU remains firm in its approach. France has indicated that sanctions should remain unless Russia agrees to a full ceasefire, reparations, and security guarantees for Ukraine. However, with negotiations ongoing and international pressure mounting, the debate over SWIFT and broader sanctions relief is unlikely to fade anytime soon.
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Chickenpox Outbreak Spreads Through Gaza Camps as Overcrowding and Vaccine Gaps Raise Alarm
A chickenpox outbreak is spreading rapidly through displacement camps in Gaza, with around 9,300 cases recorded across more than 130 health facilities in just two weeks.
Doctors and health workers say the actual number of infections is likely much higher because many patients are treated in tents or local clinics and never reach hospitals. The UN health cluster attributed the rise to severe overcrowding, high summer temperatures and worsening access to clean water.
More than half of the reported cases were recorded in Khan Younis governorate. Health teams also registered more than 18,000 new cases of infectious skin diseases across Gaza during the same week, including scabies, head lice and impetigo.
Isolation, which is recommended for children with chickenpox, is nearly impossible in many displacement camps. Families of six or more often live together in tents measuring only a few square metres, while in some locations multiple families share a single tent.
Hamada Abu Ghali, who is displaced in Nuseirat, said doctors told his daughter to stay apart from other family members after she was diagnosed with chickenpox. But the family had no space to follow the advice.
“Before the war we had a house and rooms, but today all of us are in one tent,” he said.
Ahmed Abu Hussein, displaced in Deir al-Balah, said children continued to play together because families could not keep them inside cramped shelters.
“We can’t control them or keep them inside the tent, so the infection ends up spreading to the whole family,” he said.
At Al-Rantisi Children’s Hospital, paediatric consultant Dr Sharif Mattar said official figures probably represented only a fraction of the outbreak. Many children are treated in displacement sites and primary healthcare centres, leaving their cases out of hospital statistics.
Nurse Sheimaa Hajji said health centres were seeing more children with widespread rashes. Treatment has largely focused on easing itching and preventing secondary bacterial infections, but supplies are running short.
The outbreak is being worsened by a vaccination crisis. Bassam Zaqout, director of Medical Relief in Gaza, said thousands of children born during the war had been unable to complete routine vaccination schedules. Restrictions on vaccine deliveries have also limited efforts to improve community protection.
Health officials have warned that chickenpox can pose additional risks to pregnant women, while maternity services in Gaza remain severely limited.
The World Health Organisation said the health system continues to operate with restricted capacity because of damaged facilities, shortages of medicines and a lack of medical staff.
UN field teams have also reported unsafe water supplies and sewage flowing around displacement sites.
The UN health cluster has increased the distribution of fever medicines, anti-itch treatments and antibiotics for bacterial complications. Health education teams have also been deployed.
Aid agencies warn that these efforts will not be enough without a major increase in medical supplies, clean water and hygiene materials reaching Gaza.
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