U.K. follows U.S. with sanctions on Moscow stock exchange

It follows Washington’s unveiling of a raft of sanctions, including on the Moscow exchange and several subsidiaries

Published - June 14, 2024 04:53 am IST - London

An electronic board with exchange rates at a currency exchange office is seen through traffic in Moscow, Russia.

An electronic board with exchange rates at a currency exchange office is seen through traffic in Moscow, Russia. | Photo Credit: AP

The U.K. announced on June 13 dozens of new sanctions aimed at constraining Russia's war in Ukraine, including targeting Moscow's main stock exchange, a day after Washington announced similar measures.

London said the 50 new curbs— part of "co-ordinated action with G7 partners" as the Western-led bloc's leaders meet in Italy— will hit the Russian financial system and suppliers supporting its military production.

It follows Washington’s unveiling of a raft of sanctions, including on the Moscow exchange and several subsidiaries, which raise the stakes for foreign banks that still deal with Russia.

The major new financial punishment, set to complicate billions of dollars in transactions, prompted the exchange to halt dollar and euro trades on June 13.

Moscow's Foreign Ministry has said it will respond to the "aggressive" raft of new U.S. sanctions.

Prime Minister Rishi Sunak said the U.K. "will always stand shoulder to shoulder with Ukraine in its fight for freedom".

"Today we are once more ramping up economic pressure through sanctions to bear down on Russia's ability to fund its war machine," he added, as G7 leaders convene for their summit in southern Italy.

Russian President Vladimir Putin "must lose, and cutting off his ability to fund a prolonged conflict is absolutely vital," Mr. Sunak said in the statement.

Among the new U.K. sanctions are its first sanctions on vessels in Mr. Putin's so-called shadow fleet, used by the Kremlin to circumvent Western curbs on its oil exports.

They also target suppliers of munitions, machine tools, microelectronics, and logistics to Russia's military, Mr. Sunak's Downing Street office said.

Those suppliers include entities based in China, Israel, Kyrgyzstan and Turkey, along with ships which transport military goods from North Korea to Russia.

London said it was also "working with counterparts to agree a mechanism to bring forward the extraordinary profits stemming from immobilised Russian sovereign assets to the benefit of Ukraine".

The White House has said that steps to aid Ukraine using frozen Russian assets will be announced during the G7 gathering.

0 / 0
Sign in to unlock member-only benefits!
  • Access 10 free stories every month
  • Save stories to read later
  • Access to comment on every story
  • Sign-up/manage your newsletter subscriptions with a single click
  • Get notified by email for early access to discounts & offers on our products
Sign in

Comments

Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.

We have migrated to a new commenting platform. If you are already a registered user of The Hindu and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.