US Escalates Sanctions on Russia, Kremlin Threatens Retaliation

Secondary sanctions target banks facilitating Russia's war efforts, while Russia warns of 'serious consequences' if assets held abroad are seized.

The US Treasury Department has announced the use of secondary sanctions against banks that facilitate deals for Russia to procure war equipment, marking a significant expansion of US authorities in the battle against Russia.
President Joe Biden signed an executive order allowing the US to impose another level of sanction enforcement on Russia that targets financial institutions indirectly aiding Russia's war efforts.
The Kremlin has threatened serious consequences if Russian assets held abroad, estimated to be over $300bn, are seized to aid the Ukrainian budget and war effort.
The US is also targeting loopholes that have given Russia access to cash, including banning products that originated in Russia but were transformed outside its borders, such as diamonds.
The new sanctions are seen as a critical messaging tool, warning anyone supporting Russia’s unlawful war effort that they risk losing access to the US financial system.