U.S. announces ban on new investment in Russia, in alignment with G-7

Apr 07 , 2022. 10 hours ago – 00:28 KYODO NEWS

Combined photo shows U.S. President Joe Biden (L) and Russian President Vladimir Putin. (Getty/Kyodo)

WASHINGTON – The U.S. administration of President Joe Biden on Wednesday announced a fresh round of punitive steps against Russia over its continuing invasion of Ukraine, featuring a ban on new investment as well as sanctions on Russian President Vladimir Putin’s daughters.

The move will be taken in coordination with the Group of Seven industrialized nations whose members include Japan and Britain, a senior administration official said, as he slammed Moscow over the killings of civilians in the Ukrainian town of Bucha that have recently come to light following Russia’s troop withdrawal from the area.

“The sickening brutality in Bucha has made tragically clear the despicable nature of the Putin regime,” the official said. “And today, in alignment with G-7 allies and partners, we are intensifying the most severe sanctions ever levied on a major economy.”

As part of the latest actions, Biden will sign an executive order to prohibit new investment in Russia by U.S. persons regardless of where they are located, a move aimed at further isolating Russia from the global economy, according to the White House.

Russia’s largest financial institution, Sberbank, and the country’s largest private bank, Alfa Bank, will also face asset freezes in the United States, and U.S. persons will be prohibited from doing business with them.

More individuals will also be placed under sanctions, including two adult daughters of Putin and Russian Foreign Minister Sergey Lavrov’s wife and daughter, the White House said.

The United States has been working with other G-7 peers to pressure Russia to halt the invasion it launched on Feb. 24 by imposing sanctions targeting Putin and business oligarchs who are enabling the war, along with restrictions on transactions with the Russian central bank and exclusions of certain banks from the world’s main international payment network.