BackUS widens sanctions on Russian banks, energy, defence companies
Russian President Vladimir Putin says new western sanctions are intended to disrupt peace efforts in eastern Ukraine
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Washington/Dushanbe: The US expanded sanctions against Russia to include the country’s largest bank, OAO Sberbank, energy companies as well as five state-owned defence and technology companies.
“Russia’s economic and diplomatic isolation will continue to grow as long as its actions do not live up to its words," treasury secretary Jacob J. Lew said in a statement. “Russia’s economy is already paying a heavy price for its unlawful behaviour."
The treasury department imposed sanctions that prohibit transactions in, provision of financing for, or other dealings in new debt of greater than 90 days maturity issued by OAO Gazprom Neft and OAO Transneft. For banks, the debt financing restriction now covers maturities greater than 30 days, instead of 90 days previously.
The US actions follow those by the European Union (EU), which added 15 companies, including Gazprom Neft, OAO Rosneft and Transneft, and 24 people to the list of those affected by its sanctions against Russia.
“We are implementing these new measures in light of Russia’s actions to further destabilize Ukraine over the last month," President Barack Obama said in a statement on Thursday. “Including through the presence of heavily armed Russian forces in eastern Ukraine."
The new sanctions prohibit the export of goods, services or technology in support of exploration or production for Russian deepwater, Arctic offshore, or shale oil projects by five Russian energy companies, including OAO Lukoil and OAO Surgutneftegas. Those sanctions don’t include financial services, the treasury said in a statement.
Russian President Vladimir Putin said on Friday new western sanctions against Russia were intended to disrupt peace efforts in eastern Ukraine and that Moscow was considering retaliatory measures.
Speaking to journalists after a meeting of the Shanghai Cooperation Organisation (SCO) security bloc, Putin said the sanctions looked “a bit strange" in view of the peace drive including a ceasefire.
“When the situation is moving towards a peaceful resolution, steps are taken which are aimed at disrupting of the peace process," said Putin in Dushanbe, capital of the former Soviet republic of Tajikistan in Central Asia.
“We’ve long been convinced that sanctions as an instrument of foreign policy are inefficient and practically never bring about their desired result - even in relation to small countries. Of course a policy of sanctions inflicts certain damage, including to those who use them."
Nato says it has overwhelming evidence that Russia has sent soldiers and arms to support the rebels, a charge which Moscow denies. Russia accuses the US of fomenting the protests that ousted a president sympathetic to Russia and of using events in Ukraine to “contain" Russia.
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