Russia Ukraine News: What are the restrictions on Russia amid the attack on Ukraine, know what will be the effect?

Putin, Russian President- India TV Hindi
Image Source : FILE PHOTO
Putin, Russian President

Highlights

  • US suspends all new investment, trade and funding in Donetsk and Luhansk
  • Australia has also announced sanctions on Russia

Russia Ukraine News: What sanctions have been imposed on Russia amid Russia’s attack on Ukraine, what is their effect on Russia. Some experts believe that Russia is currently sitting on a pile of excess cash. In such a situation, the effect of any level of sanctions on Russia can be reduced. Along with this, America would not like to impose any such sanctions on Russia, which will have an effect on Ukraine because the condition of Ukraine’s economy is already bad. Know what sanctions have been imposed on Russia.

Australia has announced sanctions on Russia. Australian Foreign Minister Morris Payne said about this ban that we oppose Russia’s steps. Earlier, US President Joe Biden also issued an order banning all new investment, trade and funding of the American people in Donetsk and Luhansk. The 27 countries in the European Union also spoke of sanctions against Russian politicians and industrialists. Britain has banned five Russian banks and three billionaires. Their assets are also being frozen.

googletag.cmd.push(function () {
googletag.display(‘div-gpt-ad-1516086534511-0’);
});

Australia imposed restrictions in these areas

Foreign Minister Payne said that we will impose travel restrictions and targeted financial sanctions on eight members of Russia’s Security Council. Under this restriction Australian individuals/entities will not be able to do business with Rosia Bank, Promsvazbank, IS Bank, GenBank and Black Sea Bank for Development and Reconstruction. Foreign Minister Payne said that we will amend the Autonomous Sanctions Regulations 2011 to extend the current sanctions on Crimea and Sevastopol to Donetsk and Luhansk. It would impose economic sanctions in Donetsk and Luhansk, banning trade in the transport, energy, telecommunications, oil, gas and mineral sectors. We will also amend the regulations to broaden the scope of people and entities that Australia can list to include sanctions of strategic and economic importance to Russia.

Visa for Ukrainian citizens will be extended

Payne said Ukrainian citizens whose visas in Australia expire on June 30 will be given an automatic extension of their visas for six months. Outstanding visa applications from Ukrainians will be given priority and fast-tracked by immigration authorities for a decision as soon as possible.

What sanctions did the US impose on Russia?

The US may block its citizens from doing business in the rebel-held areas of Luhansk and Donetsk. Although some US companies are doing business here. The White House has said that these steps are separate from the wider ban. If Russia moves further into Ukraine then complete sanctions can be imposed.

What will be the effect of these sanctions on Russia?

Read Also:  Where To Get Free Copies Of Your Credit Reports

financial restrictions

One of the more financial sanctions yet to be imposed on Russia is its withdrawal from the SWIFT system. Swift (SWIFT) is a global messaging service. It is used by thousands of financial institutions in 200 countries. This will make it very difficult for Russian banks to do business abroad. This ban was used against Iran in 2012. Because of this, he had lost a significant amount of his earnings from the sale of oil, his foreign business had also suffered a major setback. But the US and Germany will also suffer from this financial ban because their banks are also strongly associated with Russian financial institutions. However, Russia will not be immediately separated from the SWIFT system. According to the US Deputy Adviser on National Security, the initial sanctions are unlikely to remove the Russian financial system from Swift.

dollar clearing

America can stop Russia from doing business in dollars. This means that any company of Western countries doing business with Russian entities in dollars will have to pay a fine. That is, Russia’s ability to buy from the world will be limited. This sanction will have a deep impact on Russia because most of its oil and gas trade is done in dollars only.

Russia will not get loan from international market

Western countries may block Russia’s access to the international debt market. The ability of Western financial institutions and banks to buy Russian bonds has already been curtailed. These restrictions can be further tightened. This will make it very difficult for Russia to raise financial resources, international debt is very important for the Russian economy. Russia will have to take expensive loans. The Russian currency ruble may also weaken. Although Russia has reduced borrowing from foreign investors.

ban on banks

The US can directly impose sanctions on some Russian banks. This would make it impossible for anyone in the world to do business with these banks. So Russia will have to bailout these banks. It may also have to deal with the problem of rising inflation and lack of income in the country.

googletag.cmd.push(function () {
googletag.display(‘div-gpt-ad-1611555767072-0’);
});

export control

Western countries may stop exports of certain commodities to Russia. For example, the United States can block companies from selling to Russia any goods that use American technology, software or equipment. These include semiconductor microchips. Nowadays they are used in making cars to smart phones. They are also being used in making machine tools and consumer electronics. This will not only harm Russia’s defense and aerospace sector, but will deepen the crisis on its entire economy.

Recent Articles

Related News

Leave A Reply

Please enter your comment!
Please enter your name here