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Five ways the West can destroy the Russian economy

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Five ways the West can destroy the Russian economy
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The sanctions imposed by the West on Russia are beginning to bear fruit. But Russia is constantly getting better at circumventing these challenges. One American research center has suggestions on how to tighten screws further.

WASHINGTON – The Russian ruble is in free fall, and the central bank’s stabilization measures are becoming increasingly stringent. Recently, it raised the key interest rate sharply to 12 percent, from the previous 8.5 percent. This indicates that the sanctions imposed by the West on Russia are beginning to bear fruit.

But Russia is also getting better at circumventing sanctions. For example, despite the embargo, Russia continues to sell oil that returns to Germany and Europe via bypass routes. In order to fill these gaps and impose more pressure on the Russian economy, the Atlantic Council of Research in the United States has developed five proposals for the West. The stated goal: to increase Russia’s economic isolation.

1. Closing loopholes in export controls

The first and most important proposal made by this think tank concerns closing the loopholes in current sanctions. The export of Western goods to Russia is subject to strict sanctions – yet goods, especially those with Western technology, always find their way into the Russian Federation. This is supposed to be achieved through third countries that import goods and then resell them to Russia.

The Atlantic Council believes that these gaps must be filled. In order to do this effectively, the old system from the Cold War era could serve as a blueprint: at that time, a coordinating committee was created made up of governments that supported sanctions against the Soviet Union and jointly controlled the export of goods. Carefully.

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At the same time, this think tank asserts that “export controls will never be completely absolute.” After all, it has become the norm in Russia to steal Western technology in ever new ways. However, better implementation of export controls could have a significant impact.

2. Tightening the oil price ceiling

Since the fall of 2022, the G7 countries have set an oil price ceiling for Russian oil. The maximum price is $60 per barrel, and countries do not pay more for Russian goods that come by sea. The goal of this limit was to force Russia to sell its oil below market value so that total revenues would decrease. According to the Atlantic Council, the oil price cap also had an impact: Moscow’s oil revenues declined.

However, there are also increasing reports of sanctions circumvention, which is why the think tank suggests countermeasures. Russia is trying to increase its revenues by increasing oil transportation costs. According to the think tank, traders in G7 countries need more careful monitoring to see if they are truly adhering to the $60 limit – and it should be clear that claiming excessive transportation costs violates sanctions.

The Atlantic Council is also proposing to impose sanctions on commercial companies that repeatedly violate sanctions, in the hope that this will deter other companies.

The authors also address the rise in Russian LNG imports in Europe. Since it is assumed that the amount of LNG coming from other regions of the world will increase in the next two years, one could also think about imposing sanctions on LNG coming from Russia later.

Kremlin leader Vladimir Putin participates in an economic forum in Vladivostok in the Russian Far East.

© Sergey Shenov/Roscongress Foundation/AP/dpa

3. Using Russian assets to rebuild Ukraine

Since the beginning of the war, there has been debate about what Europe and other Western countries should do with the frozen assets of sanctioned Russians. The Atlantic Council’s position is clear: the assets, valued at approximately $360 billion, must be used for the reconstruction of Ukraine. The European Union has so far taken a stance against it – and it is not clear whether such action would be legal under international law.

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But the think tank also makes clear that this measure alone will have little impact on Russia in the short term. “But the symbolic importance of using more than half of Russian assets to compensate victims of an illegal war of aggression would be enormous.”

4. Search for the hidden assets of oligarchs

Russian oligarchs and ruler Vladimir Putin himself use many different methods to hide their origins. One way is to buy foreign companies, which also has the side effect of expanding the power of these people. According to the Atlantic Council, these practices need to be better combated.

Western countries must create more transparency regarding the ownership structure of companies. Various legislative proposals have been discussed for a long time – which, in the opinion of the think tank, should be implemented in the fight against Russia.

5. Imposing a general financial embargo

So far, Western countries have been very cautious and have only imposed sanctions on certain banks and financial institutions. The fear was so great that a complete financial embargo on Russia would lead to disastrous consequences for the global economy. But according to the Atlantic Council, the West must now act more boldly and impose a complete embargo on the Russian financial system. The measures already in place have not caused a global economic crisis – but they are deep.

“A formal financial embargo would further isolate the Russian economy – and symbolic power may be more important than actual impact.” This would also make it easier to monitor other sanctions: ultimately, it would be easier to simply stop all Russian transactions and exports rather than just those involving certain goods. Russia would be forced to convert to other currencies such as the Indian rupee or the Chinese yuan – but this would only limit trade with these countries. This will have serious consequences for the Russian economy, which may also lead to slow changes in Russian society.

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Category list image: © Sergey Shenov/Roscongress Foundation/AP/dpa

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The judge in Trump’s trial ripped his collar

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The judge in Trump’s trial ripped his collar

The judge in the illicit funds trial against former US President Donald Trump, on Monday Meanwhile, the New York courtroom must be evacuated. Previously, lawyer Robert Costello, who was called to stand alongside the defence, repeatedly expressed his opinion Disagreement was expressed with the decisions made by Judge Juan Merchan.

Each time Merchan agreed with the prosecutor’s objection, Costello – who was counsel for the prosecution’s key witness Michael Cohen – shook his head. He shook his head or sighed theatrically. Costello responded to another objection supported by Merchan An audible “Jeez!” (In German something like „Du meine Gute!”).

Merchan then escorted the jury out of the room and told the Trump ally on the witness stand: “I want to be in my own courtroom.” Talk about proper decencyHe refuses to comment on his decisions. „Your presence Don’t give me a sideways glance or roll your eyes„, dictated Merchan, who has a reputation for not putting up with anything. When Costello continued to frown and look at the judge with a red face, Merchan said in an audibly annoyed voice. „Are you staring at me?

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Journalists who had been covering the first criminal trial against a former US president for weeks were reluctant to comply. “The public has a right to know,” one reporter shouted. Armed officersJournalists, who were guarding the court, were then asked to leave the hall, but it appears that Trump supporters were allowed to remain.

When Merchan allowed the public and returned to the courtroom, The mood seemed less colorful. However, Costello continued to criticize him.

After the meeting, Trump spoke of an „incredible display” and called Merchan a „tyrant.”

In this case, Trump was accused of using forged business documents to cover up payments to former porn actress Stormy Daniels, thus secretly interfering in the presidential election. The former porn actress was through pay He was tricked into keeping quiet about an alleged sexual relationshipWhich, by her account, she was with the real estate mogul in 2006.

Trump denies any sexual contact with the woman. Cohen moved on $130,000 (about €120,000 in today’s money) to Stormy Daniels. According to the indictment, he later recovered the money from Trump while he was already president. Cohen’s refunds were therefore falsely declared as legal fees.

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Trump’s defense lawyers do not dispute the hush money issue, but they deny that their client was privy to its payment.

Trump describes the New York trial as well as the three other criminal charges against him as… Politically motivated maneuvers to prevent his return to the White House. The 77-year-old right-wing populist wants to run for the presidential elections next November against current President Joe Biden, against whom he was defeated in the 2020 elections. (AFP)

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Gaza War: Biden describes the request to issue an arrest warrant against Netanyahu as “outrageous”

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Gaza War: Biden describes the request to issue an arrest warrant against Netanyahu as “outrageous”

US President Joe Biden He rejected accusations against the Israeli leadership of committing genocide against the Palestinians in its fight against Hamas in the Gaza Strip.

“Contrary to the allegations of the International Court of Justice against Israel, this is not genocide,” Biden said on Monday (local time) in the Rose Garden of the White House during a celebration of the achievements of American Jews in the United States. “We reject that. We stand with Israel.” The US government expressed. The request to issue an arrest warrant against the Israeli leadership is “outrageous.”

South Africa has repeatedly called on the International Court of Justice to take action against Israel, accusing it of committing genocide. UN judges took emergency resolutions demanding that Israel do everything in its power to prevent genocide and allow humanitarian aid.

Joe Biden speaks in the Rose Garden of the White House on Jewish American Heritage Month

Source: AFP/Almond Ngan

The ICC prosecutor on Monday also requested an arrest warrant for crimes against humanity against Israeli Prime Minister Benjamin Netanyahu and Defense Minister Yoav Galant. Arrest warrants were also issued against the leader of the Islamic Hamas movement in the Gaza Strip, Juhya Al-Sinwar, and other representatives of the Hamas movement.

Biden reiterated that the US government rejects the actions of the Prosecutor of the International Criminal Court. The American President said: There is no equality between Israel and Hamas.

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Israeli Prime Minister Benjamin Netanyahu

Biden also indirectly addressed the issue of the detention of an American ammunition shipment due to Israel’s actions in the city of Rafah in the Gaza Strip, saying: „Let me be clear: I will always ensure that Israel has everything it needs to protect itself to defend against it.” Hamas and all other enemies.”

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Biden also stressed that “my commitment to the security of the Jewish people and the security of Israel and its right to exist as an independent Jewish state is unwavering.” The US government continues to call for a two-state solution that is safe and lasting and brings peace.

Netanyahu calls the accusations “ridiculous”

He expressed his opinion in a similar statement US Secretary of State Anthony Blinken Monday. The fact that arrest warrants have been requested for high-ranking Israeli officials alongside arrest warrants for Hamas terrorists is “shameful.” Blinken said: “We reject the public prosecutor’s link between Israel and Hamas.” He added, „Hamas is a brutal terrorist organization that committed the worst massacre against Jews since the Holocaust and is still holding dozens of innocent people hostage, including Americans.”

Blinken also made clear that the US government believes the court, which is not recognized by the United States, has no jurisdiction in the case. The US Secretary of State stressed that although Israel is not a member of the International Criminal Court, it is ready to cooperate with the prosecution. But “troubling procedural issues” called into question the legitimacy and credibility of the investigation. Blinken also stated that the Attorney General’s actions could jeopardize ongoing efforts to reach a ceasefire agreement.

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Arrest warrant against Netanyahu

Karim Khan, Prosecutor of the International Criminal CourtHe had previously requested the issuance of arrest warrants against Netanyahu, Galant, and Hamas leaders Jiya Sinwar, Muhammad Deif, and Ismail Haniyeh. He said on Monday that he believes they are all responsible for war crimes and crimes against humanity in the Gaza Strip and Israel in connection with the Gaza war that has been ongoing for more than seven months.

Israel strongly criticized these requests. Head of government Netanyahu He called it ridiculous and accused the prosecution of anti-Semitism. He said: “As the Prime Minister of Israel, I reject with disgust the prosecutor in The Hague’s comparison between democratic Israel and the mass murder committed by Hamas.” “No pressure or decision in any international forum will prevent us from meeting those who want to destroy us.” Netanyahu stressed that Israel will continue the war against Hamas.

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Foreign Minister Israel Katz On Monday, he spoke of the “scandalous decision.” This represents a „direct and unrestrained attack on the victims of October 7 and our 128 hostages in Gaza.” “While Hamas murderers and rapists commit crimes against humanity against our brothers and sisters, the prosecutor mentions our crimes at the same time.” Katz said, according to what was reported from his office: “The minister and the Minister of Defense next to the vile Nazi monsters of Hamas – a historical shame that will remain in the memory forever.”

He ordered the immediate establishment of a follow-up center in the Ministry of Foreign Affairs, where specialists would fight the decision, whose main goal was to “tie the hands of the State of Israel and deprive it of the right to self-defense.” He wanted to talk to the foreign ministers of the major countries so that they could object to the Attorney General’s decision „and declare that even in the case of arrest warrants, they will not implement them against the leaders of the State of Israel.”

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Israeli President Isaac Herzog rejected the request, calling it “more than just outrageous.” Herzog said that any attempt to compare Hamas terrorists with Israel’s democratically elected government cannot be accepted. Herzog said: “We will not forget who started this war and who raped, slaughtered, burned, mistreated and kidnapped innocent citizens and families,” referring to the Gaza war. He added: „We expect all leaders of the free world to firmly condemn and reject this move.”

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„A crime of historical proportions”

Benny GantzThe former army chief and current member of the war cabinet strongly criticized Khan’s announcement, saying Israel operates with „one of the strictest ethical rules” and has a strong judiciary capable of investigating itself. After the massacre committed by Hamas, Israel is fighting „one of the just wars in modern history.” “The prosecutor’s position in seeking arrest warrants is in itself a crime of historic proportions that will be remembered for generations to come,” Gantz said.

The opposition in Israel also condemned the proposal. Opposition leader Jair Lapid spoke of a „complete moral failure.” “We cannot accept the outrageous comparison between Netanyahu and Sinwar, between the leaders of Israel and the leaders of Hamas,” the former prime minister wrote on the X website.

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Opposition politician Merav Michaeli He described Khan’s decision as „a scandal that the State of Israel cannot and will not accept.” The Israeli leadership „cannot be placed in the same category as a vicious and cruel terrorist organization.” Meanwhile, the leader of the Social Democratic Action Party said that Israel has reached a dangerous and unprecedented level under Netanyahu’s leadership. She added: „It is dangerous for Israeli national security, and for ensuring the existence of the State of Israel.” She demanded: “Netanyahu’s destructive farce must end immediately.”

For its part, Hamas criticized the Public Prosecutor’s request to issue arrest warrants against its leaders. A statement broadcast by the Hamas movement’s Al-Aqsa satellite channel said, „His decision compares the victim to an executioner and encourages the occupation to continue its war of genocide.” The terrorist organization criticized the fact that only two arrest warrants were requested against Israeli politicians.

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International Criminal Court: Biden criticizes the request to issue an arrest warrant against Netanyahu and Gallant

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International Criminal Court: Biden criticizes the request to issue an arrest warrant against Netanyahu and Gallant

The president is ours Joe Biden Israel criticized the ICC Prosecutor’s request to issue an arrest warrant for prominent Israeli politicians. Biden said the action was “outrageous.” The US President said: “No matter what this accused proposes, there is no parity – nothing – between Israel and Hamas.” We will always stand with Israel against threats to its security.”

Chief Public Prosecutor International Criminal Court In The Hague, Karim Khan had earlier requested the issuance of an arrest warrant on charges of crimes against humanity against Israeli Prime Minister Benjamin Netanyahu and Defense Minister Joao Galante. Arrest orders were also issued against the leader of the Islamic Hamas movement in the Gaza Strip and his deputy, and against the Hamas Foreign Minister.

US Secretary of State Antony Blinken also made similar comments to Biden. Which Arrest orders Blinken said that issuing arrest warrants for senior Israeli officials, along with arrest warrants for Hamas terrorists, is “shameful.” Blinken continued: “We refuse to link the accusation between Israel and Hamas.” He added, „Hamas is a brutal terrorist organization that committed the worst massacre against Jews since the Holocaust and is still holding dozens of innocent people hostage, including Americans.” Blinken also made clear that the US government believes the court has no jurisdiction in this case. The United States, like Israel, is not a member of the court.

Politicians from other countries allied with Israel also expressed their criticism of the actions of the International Criminal Court. Austrian Prime Minister Karl Nehammer (ÖVP) wrote that this is incomprehensible.

The Israeli authorities can investigate themselves

The Ministry of Foreign Affairs announced that the parallel action taken by the Prosecutor of the International Criminal Court against agitation They created a false image against Israel. An Israeli army spokesman said, „The simultaneous application of arrest warrants against Hamas leaders on the one hand and Israeli officials on the other hand gave the false impression of an equation.” However, the court will now have to evaluate completely different facts, which the prosecutor detailed in his application.

German foreign politician from the Free Democratic Party Michael Linke also criticized the simultaneous request for an arrest warrant against politicians from both sides: “The simultaneous arrest warrant issued by the International Criminal Court for Israeli Prime Minister Netanyahu and several leaders of the Hamas terrorist organization is highly problematic. It 'equates to The terrorists and the democratically elected prime minister are with each other,” Link said.

CDU foreign expert Roderich Kieswetter also clearly criticized the prosecutor’s actions. A member of the Bundestag Foreign Affairs Committee said that the request to issue an arrest warrant for Netanyahu and Gallant is a “violent political scandal.” picture. The Israeli prime minister who enjoys democratic legitimacy is treated “like Putin, the war criminal and aggressor,” even though Israel is only defending itself against “Iran and its agents (representatives).”

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Kieswetter also criticized that the criminal court „confuses cause and effect and loses measure and balance.” “Anyone issuing and supporting this arrest warrant is clearly encouraging a reversal of the perpetrator and victim trend.” Kiesfetter called on the federal government to “protest as a member of the International Criminal Court and invite Netanyahu to political talks in Germany.”

Investigating evidence of war crimes

However, SPD foreign policy spokesman Niels Schmid recommended that the Israeli government begin its own investigations into alleged violations of international law in the war in the Gaza Strip. “The Israeli authorities can now begin their own investigations – because the ICC investigations are secondary to the national investigation,” Schmid said. He trusts the Israeli constitutional state. The Israeli authorities should investigate indications of possible war crimes.

Schmidt called on the federal government to accept the procedures of the International Criminal Court. “German foreign policy is committed to international law and its institutions, and must respect the work of the International Criminal Court on this issue as well,” the SPD politician said. „It is important that the prosecutor does not link Hamas’ crimes to Israeli actions,” Schmid said, because he explicitly recognizes Israel’s right to self-defense, but sees potential violations of the principle of proportionality. „Certainly, the prosecutor could have made requests to issue an arrest warrant in two different statements,” Schmid said. , about the fact that the Attorney General filed arrest requests against the Israeli Prime Minister and the Defense Minister, but also three against Hamas leaders, “but from a legal standpoint, they remain two different processes.”

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