The official said the comprehensive package “will impose significant costs on Russia and push it down the path of economic, financial and technological isolation.”
The new sanctions package will ban all new investments in Russia, increase sanctions on financial institutions and state-owned companies in Russia, and penalize Russian government officials and their family members.
The new package of sanctions will be the latest move by the United States and its allies aimed at putting pressure on the Kremlin and limiting its ability to wage war against Ukraine. This comes after more atrocities committed by Russian forces in northern Ukraine were revealed, which prompted the United States and its allies to take further action against Moscow.
“These measures will weaken the main instruments of Russian state power, will inflict severe and immediate economic damage to Russia, and hold the Russian kleptocracy system that finances and support Putin’s war to account,” the official said. “These actions will be taken in full swing with our allies and partners, demonstrating our determination and unity in imposing unprecedented costs on Russia for its war against Ukraine,” he added.
The expected sanctions come after the US Treasury announced that it would no longer allow Russia to pay its debts using dollars stored in US banks. While Washington had imposed sanctions on the Russian Central Bank to freeze its foreign currency in US banks, the Treasury had previously allowed Russia to use these reserves to pay off its debts.
Since the start of Russia’s invasion of Ukraine at the end of February, the United States and its allies have punished hundreds of Russian elites and lawmakers, restricted the country’s access to Western technology critical to the defense and technology sectors, and froze and cut nearly half of Russia’s foreign reserves. From selected Russian banks from the SWIFT banking network, among other steps. The United States has also banned the import of oil, natural gas and other Russian energy products.
While the severity and speed of Western sanctions against Russia are unprecedented, there are still major exceptions as US officials continue to monitor US and European supply chains and try to limit the impact of sanctions on Western economies grappling with record inflation levels. .
This story has been updated with additional information.