EU formally adopts new sanctions against Russia cbsn.ws/1okAhMt
So, what are they?
These sanctions target Russia’s three largest state owned oil companies; severely restricting their access to capital and prohibiting EU companies from providing services to them related to oil exploration or extraction. 5 of Russia’s State owned banks will also have their access to capital restricted and additional prominent members of government will be targeted.
Is that because russia sells oil for less? I heard that when Ukraine was torn between the EU and Russia, prior to the revolution, one of the EU stipulations was for Ukraine to inflate their domestic prices to the “global-rate”. Ukraine refused and thereafter sought assistance from Russia exclusively.
Oil is a global commodity and the prices are set as such even in Russia. Half of the Russian government’s budget is funded by oil revenue so these sanctions could be a major blow to them. The worst thing you could to do to Russia economically is flood the market with oil to drive the price down or otherwise put the squeeze on their oil industry.
So Russians pay more per capita for fuel than Europeans and Americans do?
…also, wont russia then be forced to raise fuel prices that will negatively impact the Russian citizens?
What Russians do with oil domestically isn’t an issue. The health of their economy and the ability of their State to function depends on exporting it which is done at global prices set by the three petroleum exchanges.
I also read somewhere that the EU wanted Ukraine to cut all economic ties with Russia if they were to recieve any economic help from the EU as well as raise oil prices domestically… But that’s not free trade IMO. It just doesn’t mesh with my understanding of subsidiarity either. It almost seems like large scale socialism, unless there’s something i’m missing. :shrug:
This will hurt a lot of European countries. It is also an attempt at political leadership change in Russia. No doubt missing the days when their man Boris ran the place they are desperately trying to get rid of Putin. And the reason most Russians are overwhelmingly behind Putin isn’t because of his “KGB” days as many here might claim. It is because of how he turned the Russian economy around since he kicked Boris and other friends of the E.U out.
Here are some examples of the changes he made.
GDP: 195 bill USD.
GDP:2,113 bill USD
National Debt: 78% GDP:
National Debt: 8% GDP:
Pensions: 499 RUB
Pensions: 10,000 RUB
No wonder the West wants to get rid of him, the Ukrainians want to be part of his country and the Russians love him. That with his Christian ideals. This man must come off as the devil himself to the EU. Must have been all that praying he done while at the Kremlin with its 7 Churches.
To me it’s mysterious why the West panders to China, while at the same time places restrictions on Russia. Really, China is just ‘toying’ with us, and will remain allies with Russia. Now if we damage the Russian economy, we permanently damage our relationship with the Russian citizens as a whole… So why is it again that the EU has been trying to harm the Russian economy since Putin took office?
Did they break some sort of contract or something? Or do we just hate Putins non-secular ways? What about China’s abuses to its neighbors -they get a free pass…? Perhaps the West is attempting to decrease Russia’s potential by winning over China, Russia’s only true ally…? If so, then all our dealings with China have been superficial -based on hurting Russia.
…or perhaps Russia really is so powerful that the West is truly scared of them to no end. If that’s the case, then why hasn’t russia smashed us by now…? Russia at least has patience and temperance towards the West -more so than they do other less ‘interesting’ cultures… Really, i think Russia actually respects us in a strange way.