According to media reports, the European Union is considering introducing a new package of sanctions against Russia over its invasion of Ukraine.
The European Union is analyzing the possibility of imposing a new package of sanctions on Russia, Bloomberg reported.
The measures could come into effect before the second anniversary of Russia’s military invasion of Ukraine. This mainly concerns new trade restrictions. The main aim of the European Union’s action is to combat the Kremlin’s ability to circumvent existing sanctions. The European Union wants to prevent Russia from using so-called aid. third countries or companies in EU member states to circumvent restrictions.
Twelfth package of sanctions against Russia
On December 18, 2023, the European Union accepted the twelfth package of sanctions against Russia. The new program included a ban on the direct or indirect import, purchase or transfer of diamonds from the Russian Federation. This ban applies to diamonds originating in Russia, diamonds exported from that country, diamonds transiting through Russia and Russian diamonds processed in third countries.
Brussels decided to impose an embargo on the import of Russian LPG, allowing a transition period of twelve months. In addition, it was indicated that the European Union would strengthen the ban on the export of sensitive technologies and goods to the Russian Federation and expand the list of dual-use items. The EU believes that one of Moscow’s sources of funding for the war in Ukraine is the lucrative diamond trade, which generates an annual turnover of four to five billion dollars.
Record military expenditure
At the end of November last year, Russian President Vladimir Putin signed the 2024 budget of the Russian Federation, significantly increasing federal spending. A record amount was allocated to defense.
Russian spending will be $412.5 billion and the budget deficit will be $9.5 billion. The Russian government plans to spend approximately $157.5 billion on defense and law enforcement, which amounts to 39 percent of GDP. all federal government expenditures.
Source: Do Rzeczy
Roy Brown is a renowned economist and author at The Nation View. He has a deep understanding of the global economy and its intricacies. He writes about a wide range of economic topics, including monetary policy, fiscal policy, international trade, and labor markets.
