US President Joe Biden announced on Tuesday that the US would impose sanctions on Russia for invading Ukraine, with more to come if the conflict continues.
During a press conference at the White House, Biden told reporters that the US will impose sanctions on two big Russian financial institutions and on Russian government debt.
According to government authorities, sanctions have been levied on Russian elites and their family members. After recognising two separatist areas of Ukraine as autonomous, Russian President Vladimir Putin instructed Russia’s defence ministry to deploy “peacekeeping soldiers” into the two territories, prompting concerns of a European war.
“This is the beginning of a Russian invasion of Ukraine,” Biden said. “Russia has now undeniably moved against Ukraine by declaring these independent states.”
The US had threatened Russia with harsh consequences if it invaded Ukraine, which the White House has traditionally characterised as any troop movement beyond the border.
The US used its most powerful sanctioning mechanism, placing Russian leaders and two banks on the Specially Designated Nationals list, effectively throwing them out of the banking system, prohibiting them from trading with Americans, and freezing their assets in the United States. The first batch of penalties, according to Biden, targeted VEB bank and Russia’s military bank, Promsvyazbank, which handles in defence contracts. He claimed that the sanctions against Russia’s sovereign debt would cut off the Russian government’s access to Western funding.
“We have our next move prepared as Russia considers its next move,” Biden added. “If Russia persists in its aggressiveness, it will face much harsher consequences, including more sanctions.”
