International sanctions are economic restrictions imposed by states or official bodies. In recent days, we have seen various financial countermeasures imposed on the Russian Federation. These sanctions imposed on Russia due to its invasion of the Ukrainian state are not rooted solely in this specific conflict; rather, since 2014, the European Union has been taking restrictive measures to sanction Russian actions against Ukraine.
The first of these was adopted on March 5, 2014, through the Decision 2014/119/CFSP of the Council. This decision establishes measures directed against individuals, entities, and bodies in light of the situation in Ukraine who have improperly appropriated Ukrainian funds or abused their positions for personal gain. Alongside this Council Decision, the Regulation 208/2014 of March 5 was adopted, which serves as the legal basis for freezing the assets and resources of individuals affected by the Decision.
The acronym CFSP refers to the concept of “Common Foreign and Security Policy of the Union.” This is a competency of the European entity in the areas of foreign policy and all matters affecting the security of the Union, which also includes the common security and defense policy.
Another relevant Decision concerning Ukraine is the Decision 2014/145/CFSP of the Council, dated March 17, 2014. This Decision targets all individuals responsible for actions or policies that undermine or threaten the territorial integrity, sovereignty, and independence of Ukraine, as well as those individuals or legal entities that materially or financially support actions against Ukrainian sovereignty. To implement these actions, Regulation 269/2014 was adopted, which lists the individuals referenced in the Decision.
For example, within this regulatory framework, we find the President of Russia, Vladimir Putin, and the Russian Minister of Foreign Affairs, Sergey Lavrov. They were added by the Implementing Regulation 2022/332, which applies Regulation 269/2014. This body of regulations requires the freezing of the funds and economic resources owned, held, or controlled by individuals or entities referenced in this regulation.
On the other hand, another Decision to consider is Decision 2014/512/CFSP, which is extended by Regulation 833/2014. These regulations establish several prohibitions. Notably, they prohibit the sale or supply of products that may have a military application, directly or indirectly. Additionally, the sale of dual-use products and technologies listed in Annex I of the Regulation 428/2009 is prohibited—this list includes military-use technologies. This body of regulations does not only limit military activities and products but also prohibits “direct or indirect transactions for the purchase or sale, provision of investment services or assistance in issuance, or any other form of negotiation related to securities or similar market instruments or money with maturities of more than 90 days.”
Using the regulations outlined in the previous paragraph, the Decision 2022/512/CFSP of February 28, 2022, prohibited transactions related to the management of reserves of the Central Bank of Russia.
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