Washington — Wall Street firms have urged the Biden administration to ease the industry’s burden in complying with a flood of financial sanctions the US has levied in recent years as a primary tool of foreign policy towards Russia, China, Iran and other adversaries.

Financial services industry groups have asked for more transparency and flexibility to target big-money evasion of the restrictions, as the treasury department undertakes an exhaustive review of its sprawling sanctions programmes, led by deputy secretary Wally Adeyemo...