New EU Sanctions against Russia Take Effect

Local Editor

New European Union sanctions targeting Russia over the crisis in Ukraine went into force on Friday, despite the threat of retaliation from Moscow.

The sanctions target major oil firms, defense companies and state-owned banks, denying them access to finance in crucial European markets.

They also add 24 individuals to a blacklist of people facing a travel ban and asset freeze.
The sanctions took effect after being published in the EU's official journal.
Russian oil giants Rosneft and Transneft plus the petroleum unit of gas giant Gazprom are specifically targeted by the new punitive measures.

They also target United Aircraft Corporation - the parent company that produces MiG and Sukhoi fighter jets among others - tank maker Uralvagonzavod, and state-controlled aerospace holding company and helicopter maker Oboronprom.
 
EU nations finally approved the sanctions on Thursday after a week of divisions about whether they should be implemented despite a ceasefire in Ukraine.
European Council president Herman Van Rompuy said that the punitive measures could be lifted after a review of the truce at the end of September.

The Russian ruble slumped to a new record low of 37.72 against the dollar on Friday after the sanctions entered into force.
Meanwhile, President Petro Poroshenko said that the Ukrainian and European parliaments would meet on September 16 to jointly ratify an historic agreement pulling his country further out of Russia's reach.

Poroshenko also told an international conference in Kiev he hoped to secure a "special status" for Ukraine with NATO during his visit to Washington next week when he will meet US President Barack Obama and deliver a keynote address in Congress.

Source: News Agencies, Edited by website team