EU chief: Russia could be cut off from markets, tech goods
MUNICH — Moscow would have its access to financial markets and hightech goods limited under Western sanctions being prepared in case Russia attacks Ukraine, a top European Union official said Saturday.
The comments from Ursula von der Leyen, head of the EU’s Executive Commission, came as tensions over Russia’s intentions toward Ukraine intensified.
“The Kremlin’s dangerous thinking, which comes straight out of a dark past, may cost Russia a prosperous future,” von der Leyen said during the annual Munich Security Conference.
Von der Leyen said the EU’s executive arm has developed a “robust and comprehensive package” of possible financial sanctions against Russia with the U.S., U.K. and Canada.
“In case that Russia strikes, we will limit the access to financial markets for the Russian economy and (impose) export controls that will stop the possibility for Russia to modernize and diversify its economy,” she added. “And we have a lot of high-tech goods where we have a global dominance, and that are absolutely necessary for Russia and cannot be replaced easily.”
British Prime Minister Boris Johnson said the U.K. was coordinating its sanctions closely with the EU.
“If Russia invades its neighbor, we will sanction Russian individuals and companies of strategic importance to the Russian state and we will make it impossible for them to raise finance on the London capital markets,” he said in Munich. Johnson added that authorities would look for “the ultimate beneficiaries” of Russian-owned companies and entities.
Western leaders so far have not specified what precise Russian action would trigger sanctions.
In Munich with other members of the U.S. Congress, House Speaker Nancy Pelosi said sanctions might include the SWIFT banking system, which could cut Russia off from most international financial transactions.
Kicking Russia out of SWIFT would also hurt other economies, including those of the U.S. and key ally Germany.