Time for a New Strategy in Russia; The Current Sanctions Regime Has Failed—Here's What to Do Next? Mark Galeotti
I say Let’s target Russian Vulnerabilities. Let’s raise the pain thresh-hold. —Let’s make a list. Right off the bat, I can think of about a dozen or more for starters--Walter D
1)Block access to western capital, 2) restrict overnight bank loans, 3) block SWIFT transactions 4) block access to financial payment systems, block credit cards, 5) ban oligarch’s children from studying in UK boarding schools 6) suspend visas for children of Putin’s inner circle 7) suspend visas for wives of Putin’s inner circle for shopping trips to the west 8) freeze Russian real estate in USA, EU and UK 9) freeze Russian assets and bank accounts 10) investigate and target proceeds of Russian money laundering in western banks –they all know what is clean vs dirty money ie. Kaddafi kept his money and had real estate in Canada 11) block access to western deep sea oil and gas drilling technology 12) flood the market with more oil/gas to keep energy process low and bankrupt the Russian energy-based economy 13) deny permission to dock Russian yachts in EU ports 14) deny airport landing rights for private Russian jets 15) restrict travel for Russian Duma members 16) target and investigate the Vatican Bank, which likely keeps Putin’s money, what better place to hide your money ? 17) Target holding companies of Putin’s inner circle that hold Putin’s money 18) investigate which western banks are financing Russia’s war with Ukraine 19) Boycott Russian stores 20) Boycott Russian products and services 21) Investigate the use of fake diplomatic passports used by Russian businessmen and their wives
THE WEST MUST BE HARDNOSED All of this can be done in a progressive proactive manner with deadlines for Russian with drawing from Ukraine and not in response to any of Putin's action.
KEY QUOTE:
TOUGH LOVE: Given that Moscow seems to have a penchant for heavy-handed geopolitical games, perhaps the best tactic is to concentrate on its vulnerabilities. Above all, Russia is dependent on Western capital and financial systems, and Russia’s elites are globalized and eager to enjoy the security, facilities, and lifestyle of the West.
Although the Kremlin appears willing to let ordinary Russians pay the price of sanctions, it is hard to believe that the Russian elite will bear such burdens willingly. The first round of sanctions targeted not whole sectors of the Russian economy but key individuals responsible for the annexation of Crimea and incursion into Ukraine, blocking their ability to travel abroad and freezing their assets. Many more names could be added to the lists—every parliamentarian who voted for the annexation of Crimea, for example—and the sanctions could be made broader and more draconian, complemented by a more aggressive push to punish gangsters and kleptocrats. Adding the names of spouses and children to the lists poses legal challenges, of course, but would also end an obvious loophole, as potential targets of sanctions often transfer assets to relatives.
Time for a New Strategy in Russia The Current Sanctions Regime Has Failed—Here's What to Do Next? Mark Galeotti
Time for a New Strategy in Russia The Current Sanctions Regime Has Failed—Here's What to Do Next? Mark Galeotti
https://www.foreignaffairs.com/articles/russia-fsu/2015-08-04/time-new-strategy-russia
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