Hungary has recently announced that it is leaving the International Investment Bank, soon after the US Treasury imposed sanctions on the IIB and its leadership. But what is the story behind this controversial financial institution and what led to its demise?

The US Ambassador announced that three senior officials of IIB, including a Hungarian citizen, Imre Laszlóczki, and two Russian nationals, Nikolai Kosov and Georgi Potapov have been placed on the list of sanctioned individuals. IIB is a platform for Russia to extend its influence in the region, and is therefore a potential threat for both the European Union and its Western allies, Pressman stated.