Another blow to Russian economy as G7 countries announce gold sanctions
To deal another blow to the Russian economy, the United States said on Sunday that the Group of Seven (G7) countries would announce sanctions on Russian gold.
The United States has said G7 countries will ban the import of Russian gold in a bid to tighten sanctions on Moscow.
As the leaders of the world’s wealthiest nations gathered in the Bavarian Alps on the sidelines of the G7 summit, President Joe Biden said: “Together, the G7 will announce that we will ban the import of Russian gold, an export major event that brings in tens of euros billions of dollars for Russia.”
Also earlier, Biden tweeted, “The United States has imposed unprecedented costs on Putin to deny him the revenue he needs to fund his war on Ukraine. Together, the G7 will announce that we will ban the import of Russian gold, a major export. which brings tens of billions of dollars to Russia.”
Notably, these measures were initially reported by the United Kingdom. However, a senior US administration official who spoke on condition of anonymity told reporters that the G7 would make an official announcement on the gold import ban on Tuesday.
Reporting from the G7 summit, Al Jazeera’s James Bays said Sunday’s first session will focus on the global economy. He added that the approval of Russian gold was hailed as one of the summit’s achievements and is expected to continue.
On the other hand, Bays also advised that countries are also going to be mindful of their own economies and that G7 leaders are unlikely to give the go-ahead for additional sanctions, “especially Russia’s gas imports to the United States.” ‘Europe”.
Meanwhile, Ukrainian Foreign Minister Dmytro Kuleba on Sunday called on the G7 countries to respond to the new missile attack on Kyiv by imposing new sanctions on Russia and supplying more heavy weapons to the Ukraine.
Taking to Twitter, Kuleba wrote: “This 7-year-old Ukrainian child was sleeping peacefully in Kyiv until a Russian cruise missile exploded in her home. Many others around Ukraine are under strike. The G7 summit must respond with more sanctions against Russia and more heavy weapons for Ukraine.”
Gold exports are a major source of income for Russia in terms of its ability to transact with the global financial system. Last year they were worth 12.6 billion pounds ($15.45 billion) and wealthy Russians bought bullion to lessen the financial effect of Western sanctions.
The crackdown will likely be the most impactful economic measure against Moscow announced at the three-day G7 meeting. Notably, the Russian invasion of Ukraine is now in its fifth month.
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