© . FILE PHOTO: The tower of the Bank for International Settlements (BIS) headquarters can be seen in Basel, Switzerland March 18, 2021. REUTERS/Arnd Wiegmann LONDON () – The Bank for International Settlements, the umbrella body for central banks worldwide, said Monday it would be no way around the strong Western sanctions imposed on Russia this weekend. Western allies on Saturday announced sweeping new sanctions against Moscow, including Russia’s central bank, in a bid to limit its ability to stake $640 billion in forex and gold reserves. As part of its role, the Swiss-based BIS may conduct currency and reserve transactions for its member central banks, including Russia. “The BIS will be no way around sanctions,” spokeswoman Jill Forde said during a conference call with journalists after the year’s first major report. “The BIS will follow sanctions if applicable”. The head of the monetary and economic division of the BIS, Claudio Borio, said the dramatic events in Ukraine and the retaliation for Russia meant that the global economy now faces widespread uncertainty. Rising energy and commodity prices will further drive global inflation, while such sweeping sanctions have never been applied to a country as interconnected in the global economy as Russia. “It’s hard to say where the markets will go from here,” said Borio. “The situation has clearly changed.” “Central bank challenges have become more complex,” he said, referring to how major central banks like the US Federal Reserve have prepared for their first rate hikes following the pandemic following the Covid crisis. Disclaimer: Fusion Media would like to remind you that the data on this website is not necessarily real-time or accurate. All CFDs (Stocks, Indices, Futures) and Forex prices are not provided by exchanges but rather by market makers, and therefore prices may not be accurate and may differ from the actual market price meaning prices are indicative and not suitable for trading purposes . Therefore, Fusion Media does not bear any responsibility for any trading losses that you may incur as a result of using this data. Fusion Media or anyone associated with Fusion Media assumes no liability for any loss or damage resulting from reliance on any information, including data, quotes, charts, and buy/sell signals on this website. Be fully informed about the risks and costs associated with trading the financial markets, it is one of the riskiest forms of investment possible.