Several Ukrainian banks have suspended or reconsidered their cash transport routes through Hungary and Slovakia after Hungarian authorities seized a large shipment belonging to a Ukrainian state bank last week.
According to Ukrainian media reports citing banking industry sources, the incident has prompted financial institutions to search for alternative routes to bring foreign currency into Ukraine from Europe.
Since the start of Russia’s full-scale invasion in 2022, large volumes of cash have been transported to Ukraine by armoured vehicles along land routes through Central Europe, replacing earlier air transport. One of the main partners in these operations has been Austria’s Raiffeisen Bank, with shipments typically travelling from Austria through Hungary or Slovakia.
Millions in cash and gold seized
The shipment in question belonged to the Ukrainian state savings bank Oschadbank. During an operation involving Hungary’s Counter-Terrorism Centre (TEK), the convoy was stopped and later seized by the Hungarian tax authority (NAV).
According to Ukrainian officials and Raiffeisen Bank, the convoy was part of a regular interbank cash delivery service moving through Hungarian territory.
Authorities reportedly confiscated assets worth tens of millions: EUR 40 million, USD 35 million, and around nine kilograms of gold.
Hungarian authorities launched an investigation on suspicion of money laundering.
Vehicles to be returned
NAV informed Oschadbank’s legal representatives on Wednesday that the seized armoured vehicles would be returned following last week’s operation involving the bank’s employees.
The seizure, however, has already disrupted the system Ukrainian banks rely on to supply foreign currency during the war.
Banks consider alternatives
Banking sources say Ukrainian financial institutions are now reviewing logistics options and may temporarily delay direct cash deliveries from Europe. Some banks have instead begun purchasing foreign cash directly from the National Bank of Ukraine.
In the past two days alone, Ukraine’s central bank reportedly offered USD 200 million and EUR 115 million in cash to banks. Demand has been moderate but noticeably higher than usual.
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Ukraine’s foreign ministry has said that a group of Hungarian officials who travelled to the country to examine the Druzhba oil pipeline cannot be considered an official delegation, Kyiv Independent reports.
According to ministry spokesperson Heorhii Tykhyi, the group of Hungarian citizens arrived in Ukraine using the same visa-free rules that apply to travellers from the Schengen area. As such, they hold no official status and have no scheduled meetings with Ukrainian authorities.
Kyiv, therefore, considers it inaccurate to describe the visitors as a “delegation”. Officials stressed that anyone from Schengen countries may enter Ukraine under standard entry rules, including for tourism.
Hungary says mission aims to restart oil supplies
Earlier on Wednesday, Hungarian Deputy Energy Minister Gábor Czepek said a four-member team had set off for Kyiv to investigate the condition of the Druzhba pipeline and discuss its possible restart.
Speaking near the Záhony border crossing, Czepek said the group hoped to hold meaningful talks not only with Ukraine’s energy authorities but also with ambassadors in Kyiv and representatives of the European Commission.
The Hungarian government’s team includes the deputy minister, an oil industry specialist, a senior official experienced in international relations and an energy market analyst.
Budapest says the mission’s goal is to represent Hungary’s interests and help restore oil deliveries as soon as possible.
Pipeline shutdown after Russian strike
Oil flows through the Druzhba pipeline stopped in late January after a Russian attack hit a pumping station in Ukraine, damaging the infrastructure.
Since then, the Hungarian government has accused Kyiv of deliberately withholding oil supplies, while Ukrainian authorities maintain that the attack caused serious damage and repairs could take considerable time.