April 9, 2022 Socio-Economic Situation in Russia. Sanctions in Action

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russia's investment company “sistema” has said that the law on delisting depository receipts of russian companies from foreign exchanges, recently passed by the state ruma, has had a negative impact on the liquidity and quotations of its securities.

Shares of russia's diamond mining group “alrosa” have already fallen by 5.7% since its inclusion in the US sanctions list.

Europe and the World

After the Russian strike on Kramatorsk, European Council President Charles Michel said more sanctions were needed against russia and more weapons for Ukraine. “It's horrible to see russia’s strike at one of the main stations used by civilians being evacuated from a region where russia is stepping up its attacks. Actions needed: more sanctions against russia and more weapons for Ukraine coming from the EU. The 5th package of EU sanctions has just been approved”, Michel said.

Under the 5th package of sanctions, the EU is imposing personal sanctions on 18 organizations and 217 individuals - businessmen, journalists, security forces and the military, including 179 from so-called “dpr” and “lpr”.

The 5th package of EU sanctions against russia prohibits:

coal imports from russia;

russian ships with russian operators arrival at EU ports;

russian and belarusian truckers’ work in the European Union;

arms supply.

The EU has frozen € 30 billion in russian assets, including helicopters, yachts and houses.

The EU has extended the ban on the sale of banknotes and securities to legal entities of russia and belarus.

The EU has banned exports to russia of quantum computers, semiconductors, aviation fuel and imports from russia of wood, cement, fertilizers, seafood and alcohol.

The EU has banned the import of potassium chloride from belarus through russia.

The EU’s embargo on coal from russia will take effect in August 2022.

 Prime Minister of Slovakia, Eduard Geger, has announced the provision of Ukraine with the S-300 air defense system, which was in service with his country. “I would like to confirm that Slovakia has provided Ukraine with the S-300 air defense system. The Ukrainian people are courageously defending their sovereign state and us as well. It is our duty to help, not to stand aside and not to ignore the loss of human lives during russia's aggression”, said the Slovak Prime Minister.

The White House administration has said the United States and its allies are providing Ukraine with 90 anti-tank systems for each russian tank. The United States also continues to work with partners to provide Ukraine with air defense systems. US defense assistance to Ukraine since the beginning of the russian aggression has already amounted to $ 1.7 billion.

The United Kingdom will provide Ukraine with an additional package of military aid worth 100 million pounds (approximately 130 million dollars) to repulse russian troops.

The Czech Republic has sent tanks, volley fire systems, howitzers and infantry fighting vehicles to Ukraine.

Following a Senate decision, the US House of Representatives voted to refrain from importing energy carriers from russia.

The White House administration has said that President Biden will sign a congressionally approved bill banning oil imports from russia.

The UK has imposed sanctions on putin's and lavrov’s daughters. They are barred from entering the UK and their British assets are frozen. This is stated in the updated sanctions list of the United Kingdom from April 8.

Since the beginning of the russian invasion, Ukraine's partner states have expelled 443 members of russian diplomatic missions. Poland - 45 and Germany - 40. France expelled 35 people, Slovakia - 38, Slovenia - 33, Italy - 30, Spain - 25, Belgium - 21, EU - 19, Estonia and the Netherlands - 17 each, Latvia - 16, Denmark - 15, Greece and the UN - 12 each, Bulgaria, Portugal and Romania - 10 each, Japan - 8, Lithuania and Northern Macedonia - 5 each, Austria, Ireland and Montenegro - 4 each, Norway and Sweden - 3 each, Luxembourg and the Czech Republic - one diplomat each.

The US authorities will consider the expulsion of some russian diplomats, - said US Secretary of State Anthony Blinken.

The European Commission and the EU's foreign policy service will continue to work on new sanctions against russia, including a ban on oil imports.

The European Commission has announced the introduction of a platform for joint purchases of gas and hydrogen by EU countries in order to reduce their dependence on supplies from russia.

Montenegro’s authorities have approved joining the EU sanctions package against russia.

The International Energy Agency said the UK would send to the market 4.41 million barrels of oil from its strategic reserves. The decision is part of a global plan to release 240 million barrels from the reserves of a number of Western countries over the next six months.

German airline Lufthansa has stated that it will not use russian airspace until June 30.

 Prime Minister of Japan Kishida invited the G20 countries to discuss russia’s further participation in the union.

Japan will coordinate its actions regarding the sanctions against russia with the United States and European countries.

At the same time, Japan joined the United States and EU countries by announcing a ban on russian coal imports. New investments in russia have been banned and additional sanctions have been imposed on 400 russians, including deputies and 20 organizations from russia. The Japanese government will expand the number of people, whose money will be frozen in Japan to about 550, including russian president putin and his subordinates. Japan is also expanding sanctions against russian banks, including sberbank and alpha bank, and is sending away eight russian diplomats.

The Australian government has released a new list of 67 russians against whom sanctions have been imposed. It includes, in particular, the head of the central bank of the russian federation nabiullina and the head of the bank VTB kostin. According to the new list, the total number of individuals and organizations subject to Australian sanctions has reached six hundred.

The German government is preparing a bill that will strengthen sanctions against russian businessmen. These include the seizure of luxury items belonging to sanctioned persons. Until now, Germany did not have a legal framework for such measures.

The Moldovan parliament has approved amendments to the Code of Offenses and fines for wearing the st. george ribbon and the “v” and “z” symbols used by the Russian occupiers.

The head of the Danish energy company Orsted, Thomas Tyun, said that the company would not pay gazprom in rubles.

German product manufacturer Dr. Oetker has stopped production in russia and decided to sell its plant in belgorod.

Swedbank Group suspends all payments related to russia and belarus.

The Japanese multinational corporation Komatsu, which manufactures construction, mining, forestry and military equipment, has said it is suspending supplies and production at a plant in russia.

Taiwanese computer manufacturer Acer has stopped operations in russia.

The international forest certification system FSC (Forest Board of Trustees) ceases to operate in russia.

Zaha Hadid Architects has refused to participate in russian projects, including renovations in moscow.

As of April 11, the Finnish state-owned postal operator Posti will suspend postal services with russia and belarus.

Austria has lifted all restrictions on Ukrainian carriers, and now all freight through the country can be carried out without any permits.

Already 14 national postal operators of other countries have announced free delivery of items to Ukraine at the request of Ukrposhta. We are talking about delivery from abroad to specific recipients in Ukraine, indicating the recipient, address, index and contact phone number. Ukrposhta will deliver these items free of charge to its branches in Ukraine, where recipients will be able to collect them. Currently, this will be done by: the Czech Post (Česká Pošta), Österreichische Post AG (Austrian Post), Omniva (Estonian Post), Poczta Polska (Polish Post), An Post (Post of Ireland), Slovenská pošta (Post of Slovakia), Pošta Slovenije Post of Slovenia), Georgian Post (Post of Georgia), Cyprus Post (Post of Cyprus), Magyar Posta (Post of Hungary), Guernsey Post, UK (Post of Guernsey), Post of Armenia, Royal Gibraltar Post (Post of Gibraltar).

46 UNESCO member states will boycott the meetings of the World Heritage Committee while it is chaired by russia. The parties to the Convention signed an open letter refusing to participate in the meeting due to the rf’s systematic violation of international humanitarian law during the war in Ukraine. “It is impossible for the 45th session of the World Heritage Committee to be held in kazan or under the chairmanship of russia, while the latter destroys the outstanding universal value in Ukraine. Confidence in UNESCO and the 1972 Convention Concerning the Protection of the World Cultural and Natural Heritage is at stake. Given these circumstances, the signatories of this letter, all States parties to the 1972 Convention, will not go to kazan or the 45th session of the World Heritage Committee, which will be held in any other country under the chairmanship of russia”, reads the open letter from 46 member countries.

This year, musicians from russia will not be admitted to the Jan Sibelius International Violin Competition, which will take place in Helsinki in May, the Finnish News Agency reported, citing the competition's chairwoman Lauri Ratia.