What are sectoral sanctions?
Sectoral sanctions are where sanctions apply to countries for instances of war or international violence. For example, many Russian oligarchs and government officials are subject to sanctions despite not necessarily being subject to explicit sanctions – individually named on sanctions lists.
It’s also important to note that a sanctioned individual in one country may not be sanctioned in another. However, doing business with a sanctioned entity outside of the US will still cause a financial institution to breach the OFAC’s 50 percent rule.
For more information, see sanctions screening.
