Rich Russians are trying to move some of their wealth from Europe to Dubai as a result of Western sanctions, financial and legal sources say.

The sanctions are a result of the Russian invasion of Ukraine.

Dubai, the Persian Gulf’s financial and business center, has long been a point of interest for the very rich. And the United Arab Emirates’ (UAE’s) refusal to take sides between Western allies and Moscow has suggested to Russians that their money is safe there.

The UAE, which over the years has deepened its ties with Russia, has not agreed to observe sanctions put in place by Western nations. Its central bank has so far not issued guidance regarding Western sanctions.

In many cases, wealthy Russians are seeking to move money that is now in Switzerland or London, a senior banker at a large Swiss private bank and a lawyer familiar with the matter said.

The lawyer, who is based in Dubai, said his firm had received questions about how quickly it could move large amounts of money – hundreds of millions of dollars – to the Gulf Arab state.

The Dubai Media Office, UAE foreign ministry and central bank did not immediately respond to a question about the amount of Russian funds going into Dubai.

The senior private banker said in some cases, Russian clients with accounts at private banks were opening accounts with that same bank’s UAE branch. Others were opening accounts with local banks, the banker added.

Russians are facing a weakened economy at home. They are also looking to put their money in investments, including real estate, and buying into funds that do not reveal ownership information, another financial source said.

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