{"id":2508,"date":"2022-02-25T08:58:16","date_gmt":"2022-02-25T13:58:16","guid":{"rendered":"https:\/\/whia.us\/?p=2508"},"modified":"2022-02-25T08:58:43","modified_gmt":"2022-02-25T13:58:43","slug":"united-states-imposes-devastating-costs-on-russia","status":"publish","type":"post","link":"https:\/\/whia.us\/en\/2508\/","title":{"rendered":"United States Imposes Devastating Costs on Russia"},"content":{"rendered":"

The White House<\/em><\/p>\n

FOR IMMEDIATE RELEASE<\/em>
\nFebruary 24, 2022<\/em><\/p>\n

FACT SHEET:
\nJoined by Allies and Partners, the United States Imposes Devastating Costs on Russia<\/strong><\/p>\n

Russia to Face Massive Costs from its Isolation from the Global Financial and Trade System and Cutting-Edge Technology<\/strong><\/em><\/p>\n

Today, the United States, along with Allies and partners, is imposing severe and immediate economic costs on Russia in response to Putin\u2019s war of choice against Ukraine. Today\u2019s actions include sweeping financial sanctions and stringent export controls that will have profound impact on Russia\u2019s economy, financial system, and access to cutting-edge technology. The sanctions measures impose severe costs on Russia\u2019s largest financial institutions and will further isolate Russia from the global financial system. With today\u2019s financial sanctions, we have now targeted all ten of Russia\u2019s largest financial institutions, including the imposition of full blocking and correspondent and payable-through account sanctions, and debt and equity restrictions, on institutions holding nearly 80% of Russian banking sector assets. The unprecedented export control measures will cut off more than half of Russia\u2019s high-tech imports, restricting Russia\u2019s access to vital technological inputs, atrophying its industrial base, and undercutting Russia\u2019s strategic ambitions to exert influence on the world stage. The impact of these measures will be significantly magnified due to historical multilateral cooperation with a wide range of Allies and partners who are mirroring our actions, inhibiting Putin\u2019s ambition to diversify Russia\u2019s brittle, one-dimensional economy. The scale of Putin\u2019s aggression and the threat it poses to the international order require a resolute response, and we will continue imposing severe costs if he does not change course.<\/p>\n

Putin\u2019s threatening actions and now his unprovoked aggression toward Ukraine are being met with an unprecedented level of multilateral cooperation. The United States welcomes the commitments by Australia, Canada, the European Union, Japan, and the United Kingdom that they will also take similarly forceful actions to hold Russia accountable \u2013 demonstrating the strength of our partnerships and deepening the impact on Russia more than any action we could have taken alone. This follows our joint action earlier this week to impose a first tranche of severe sanctions on Russia.<\/p>\n

As a result of Putin\u2019s war of choice, Russia will face immediate and intense pressure on its economy, and massive costs from its isolation from the global financial system, global trade, and cutting-edge technology. This includes cutting off Russia\u2019s largest bank from the U.S. financial system \u2013 a significant blow to its ability to function and process global trade. It also includes full blocking sanctions on Russia\u2019s second largest bank \u2013 freezing any of its assets touching the U.S. financial system. Russia\u2019s ability to access global markets, attract investment, and utilize the U.S. dollar will be devastated.<\/p>\n

Russia\u2019s economy has already faced intensified pressure in recent weeks; just today its stock market sunk to its lowest level in four and a half years, and the ruble weakened beyond its weakest daily settlement price on record \u2013 before additional sanctions were even imposed. With these new stringent measures, these pressures will further accumulate and suppress Russia\u2019s economic growth, increase its borrowing costs, raise inflation, intensify capital outflows, and erode its industrial base. The United States and our Allies and partners are unified and will continue to impose costs, forcing Putin to look to other countries that cannot replicate the financial and technology strengths of Western markets.<\/p>\n

Today, the United States carried out the following actions:<\/strong><\/p>\n