Connect with us

Hi, what are you looking for?

Capital Business
Capital Business

World

EU formally adopts Russia sanctions

The Eurozone logo/FILE

The Eurozone logo/FILE

BRUSSELS, July 31 – The European Union formally adopted broad economic sanctions against Russia on Thursday, aiming to make it pay a price over the Ukraine crisis in the hope Moscow will reverse course.

The new measures, finally agreed earlier this week after months of hesitation, target Russia’s banking, defence and energy sectors in view of its “actions destabilising the situation in eastern Ukraine,” a statement said.

A first step limits access by Russian state owned banks to Europe’s financial markets, chief among them London, which will increase their cost of doing business and hinder their contribution to the economy.

EU nationals and companies will no longer be allowed to buy or sell new bonds, stocks or other debt instruments with a maturity of more than 90 days issued by such banks, the statement said.

Sales of arms and dual use technology are banned, along with sensitive technologies in the oil sector but not gas, where Russia supplies about a third of the EU’s needs.

Analysts say the oil sector ban could really hurt in time because Russia relies heavily on advanced Western drilling technology, especially for the development of new fields in extreme environments such as the Arctic.

“The measures will apply to new contracts,” the statement said, adding that the legal texts will be published in the EU Official Journal later Thursday and come into effect on Friday.

Click to comment
Advertisement

More on Capital Business

Executive Lifestyle

NAIROBI, Kenya, Mar 12 – The country’s super wealthy individuals are increasing their holding of bonds, gold and cash, a new report by Knight...

Ask Kirubi

NAIROBI, Kenya, Mar 9 – Businessman and industrialist Dr. Chris Kirubi has urged members of the public to exercise extreme caution when making any...

Headlines

NAIROBI, Kenya, Mar 18 – Commercial Banks have been ordered to provide relief to borrowers on their personal loans, with loans eligible from March...

Ask Kirubi

NAIROBI, Kenya, Mar 24 – Businessman and industrialist Dr. Chris Kirubi is set to own half of Centum Investment Company PLC, following a go-ahead...

Kenya

NAIROBI, Kenya, Jun17 – Kenya’s tea leaves manufacturer Kericho Gold, has been awarded the Superbrands Seal by Superbrands East Africa for their quality variety...

Coronavirus

NAIROBI, Kenya, Mar 22 – Airtel Kenya is offering free internet access for students in order to enable continued learning at home in the...

Coronavirus

NAIROBI, Kenya, Apr 13 – As the local telecommunications industry gears up to roll out 5G networks in the country, the Communications Authority of...

Headlines

NAIROBI, Kenya, Mar 16 – The World Bank has given the Kenyan government USD 60 Million (Sh6.1 billion) to help combat the deadly coronavirus pandemic...