The US, UK and European Union have ramped up sanctions actions against Russia in an effort to isolate the country following its invasion of Ukraine. These are the latest round of measures -- some of the most extreme taken in modern times. Russian forces continue their assault and President Vladimir Putin has put his nuclear deterrence forces on alert.
The US
President Joe Biden’s administration has banned US people and companies from doing business with the central bank of Russia, immobilizing nearly half of Putin’s warchest. The move comes after Washington said over the weekend it would ban major Russian banks from the SWIFT financial messaging service in coordination with European allies.
- The US banned transactions with the Russian central bank, the Russian National Wealth Fund and the Ministry of Finance
- The moves will “effectively immobilize" any Russian central bank assets held in the US or by US nationals, according to the Treasury
- Putin’s warchest is an estimated $630 billion in reserves; Russia’s own data published in January shows that $100 billion of the reserves were held in US dollars as of June
- The US separately issued a license allowing certain energy transactions with the central bank, an exemption a senior administration official said is aimed at minimizing the effects on energy markets in Europe
- The US is continuing to work with EU partners to finalize the list of banks that will be cut off from the SWIFT system, a second senior administration official said
- The US said sanctions on the Russian Direct Investment Fund would also extend to its CEO, Kirill Dmitriev, a close Putin ally
The UK
Prime Minister Boris Johnson announced an asset freeze against all major Russian banks, including an immediate freeze on VTB, Russia’s second largest bank.
- The UK government has also sanctioned five banks: Rossiya, IS Bank, General Bank, Promsvyazbank and the Black Sea Bank
- Legislation to stop all major Russian companies from raising finance on UK markets, and also to prohibit the Russian state from raising sovereign debt on UK markets. The new law will come into force Tuesday
- Sanctions on more than 100 individuals, entities and their subsidiaries, including Rostec, Russia’s biggest defense company. Wealthy individuals include:
- Kirill Shamalov, Russia’s youngest billionaire and Putin’s former son-in-law
- Petr Fradkov, head of Promsvyazbank (itself already sanctioned) and son of former head of FSB
- Denis Bortnikov, deputy president of VTB
- Yury Slyusar, director of United Aircraft Corp.
- Elena Georgieva, chair of the board of Novicom Bank
- Volga Group founder and Novatek shareholder Gennady Timchenko
- Stroygazmontazh founder Boris Rotenberg
- Gazprom Bureniye shareholder Igor Rotenberg, Boris Rotenberg’s nephew
- Imminent ban on Aeroflot planes landing in the UK
- Immediate ban on all exports of goods that could have military use, such as electrical components and truck parts
- Legislation within days to prohibit a range of hi-tech exports such as semiconductors and aircraft parts as well as goods for the extractive industries, such as oil refinery equipment
- Limit of 50,000 pounds ($67,000) on deposits by Russian nationals in UK bank accounts
- All sanctions also apply to Belarus
- Accelerate passage of an economic crime bill to target illicit Russian money in the UK– legislation due to be laid on Tuesday
- Plans, in conjunction with the US and EU, to forbid any UK national from carrying out financial transactions involving the Central Bank of the Russian Federation, the Russian National Wealth Fund and Russia’s Ministry of Finance
The EU
The 27-nation bloc imposed two sets of sanctions against Russia, and is preparing further measures that will also include Belarus, according to official statements and people familiar with the matter. The most significant of the existing and proposed measures include:
- A ban on all transactions with the Russian central bank and freezing its assets
- Shutting down EU airspace to all Russian planes, including the private jets of oligarchs
- Banning Russian state-owned media companies Russia Today and Sputnik
- Excluding major Russian banks from the SWIFT international payments system
- Sanctioning some of Russia’s wealthiest tycoons as well as top officials in state companies and media
- Stopping exports from Belarus of products from mineral fuels to tobacco, wood and timber, cement, iron and steel
- Sanctioning those Belarusians helping the Russian war effort
- Stopping financial inflows from Russia into the EU by imposing limits on bank deposits and barring Russians from investing in EU securities
- In lockstep with the U.S., introducing export controls on dual-use and high-tech goods, with a particular focus on electronics, computers, telecom and information security, sensors and lasers and marine applications
- Baning exports of aircraft, aircraft parts and related equipment, as well as a ban on the sale of equipment and technology needed to update Russian oil refineries to modern environmental standards
Switzerland
President Ignazio Cassis of Switzerland, a historically neutral state that is not a member of the European Union, said the country would adopt the bloc’s sanctions on Russia, including asset freezes.
- “Switzerland is also implementing the financial sanctions imposed by the EU on Russian President Vladimir Putin, Prime Minister Mikhail Mishustin and Foreign Minister Sergey Lavrov with immediate effect," the Federal Council of Switzerland said in a statement quoted by Cassis a press conference, according to the Interfax press service
This story has been published from a wire agency feed without modifications to the text.
