Four days after the start of Russia’s offensive war against Ukraine, the traditionally neutral Switzerland has decided to join the EU sanctions against Russia. Since then, banks in the country have been required to provide information about individuals or companies affected by these sanctions. The total amount of reserves and assets of the Russian central bank in Switzerland would amount to 7.4 billion Swiss francs (7.6 billion euros). Now the question arises: what do you do with the money?
Since March 25, 2022 – about a month after the start of Russia’s war of aggression against Ukraine – “all transactions related to the management of reserves and assets of the Central Bank of the Russian Federation have been prohibited”, according to the Ministry of Economy in Bern explained Wednesday.
New dates released
At the end of March this year, the Swiss government decided that organizations, institutions and individuals had to report assets to the Russian central bank before April 12. This data has now been published. In addition to the 7.4 billion Swiss francs (7.6 billion euros), about 7.5 billion Swiss francs come from sanctioned organizations or individuals subject to an asset freeze because of the war in Ukraine.
Discussions are ongoing in the EU on the use of assets of the Central Bank of Russia for investment and the use of the proceeds for the reconstruction of Ukraine. “Switzerland is following these talks closely,” said the Ministry of Economic Affairs.
Do the sanctions work?
On February 24, 2022, Russia invaded Ukraine. Since then, a brutal war of attrition has been raging on the battlefield, with an economic conflict in the background. The US and the EU are trying to paralyze the Russian economy with an arsenal of sanctions.
The effectiveness of the punitive measures is decisive for the outcome of the war in Ukraine. According to experts, the imposed sanctions are still too weak to force the Russian president to reconsider in the foreseeable future. But there are increasing signs that Putin could lose his economic fortune.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
