The EU and the USA slap new sanctions on Russia

The European Union and the United States have adopted new sanctions against Russia

Valentin Țigău, 17.07.2014, 13:32

The European Council on Wednesday decided to suspend the financial operations the European Investment Bank and the European Bank for Reconstruction and Development have with Russia. The measure is not part of the third sanction stage the EU planned against Moscow, which it blames for the escalation of the armed conflict in eastern Ukraine, but is aimed at heaping more pressure on Russia.

In a formal communiqué the European Council has reiterated its support for a peaceful solution to the crisis in Ukraine, particularly for achieving a real and enduring ceasefire involving all sides. The Council urges Russia to actively use its influence over the illegal armed groups in order to stop the supplies of arms and personnel to the rebel militias in Ukraine with a view to get a rapid de-escalation of the conflict. The Council has agreed to extend the restrictive measures for the entities in the Russian Federation, whose support for the rebels is jeopardizing the sovereignty, territorial integrity and independence of Ukraine. Romanian president Traian Basescu believes the EU needs to adopt tougher sanctions against Russia.

“My point of view was that unless the European Union takes tougher actions and moves on to the third stage of these sanctions, Ukraine might no longer be ready to move towards the European Union and would end up in a situation like that in the Republic of Moldova, currently facing the breakaway tendencies of the region of Transdniester, only with a greater impact for the EU, because Ukraine is a bigger country.”

The United States has also announced the toughest sanctions against Russia yet, because, as president Barack Obama said, “Russia has failed to take any of the steps the Obama administration was called for to de-escalate the situation in Ukraine”. In turn president Putin of Russia said that Washington’s sanctions “will backfire and force US-Russian relations into a corner”.

Radio Romania’s correspondent in Washington says the sanctions are actually targeting two major banks in Russia, including that of gas giant Gazprom and another two energy companies, including Rosneft, whose access to US capital markets will be restricted. Several weapons manufacturers are also expected to bear the brunt of the new sanctions; among them is the famous Russian trademark Kalashnikov.