There is a lot of room for tightening in US sanctions, says US expert . They will be used if Russia expands its hostilities in Ukraine.
WASHINGTON President of the United States Joe Biden announced on Tuesday new sanctions against Russia as expected. They are hitting, above all, the Russian Development Bank, the military bank and members of the Russian elite.
In his speech, Biden strongly condemned Russia’s actions in the separatist regions of Ukraine. According to him, they are the beginning of an attack, which is answered by the initiation of sanctions.
A senior researcher at the Atlantic Council, an incubator Julia Friedlander tells that these are the First Steps.
– These are first bets, because the situation required a quick reaction. Wider, more effective sanctions will be spared in a situation where Russia continues its efforts, Friedlander says.
On the basis of the sanctions, the United States does not yet see Russia as an attack, as it did not impose its heaviest sanctions. The United States is responding to Russia’s gradual attack with gradually tightening sanctions.
“Massive sanctions designed to punish Russia – wounding its economy by accelerating the capital flight, weakening the ruble and so on – are now being used as a deterrent,” Friedlander says.
The next steps could be more extensive sanctions on the banking system, more barriers to capital movements and export bans on components used by the military industry, he says.
However, according to Friedlander, Russia is in a good position as the country has accumulated an economic buffer since the 2014 sanctions.
Western coordination has been unprecedented
The toughest sanctions in the planning stage so far have been described as historic in the United States. In the past, the United States has used similar sanctions, mainly to put pressure on smaller countries such as Venezuela or Iran.
Now they would affect an economy the size of Russia, which is also closely part of the international financial system.
Friedlander has been formulating and coordinating sanctions in his previous positions at the U.S. Treasury Department.
According to him, attitudes towards sanctions have changed since the conquest of Crimea.
In 2014, the United States sought to focus its sanctions precisely on decision-makers, but now the Biden administration is more prepared to hit the entire Russian economy.
Another significant change is cooperation between the United States and its allies, Friedlander says.
– We have seen unprecedented coordination between the United States and the EU. Compared to 2014, the parties are now accustomed to imposing sanctions on Russia. In addition, after the term of President Donald Trump, everyone has a strong desire to work together.
You can discuss the topic until Thursday, February 24 at 11 p.m.