Joe Biden announces sanctions forbidding Russia to raise funds from the West


US President Joe Biden announced the first tranche of sanctions on Russia, effectively cutting off Moscow from Western financing.

US President Joe Biden in his address to the nation on Russia’s actions announced first tranche of sanctions. (Photo: Reuters)

US President Joe Biden on Tuesday announced sanctions that will effectively cut Russia off from Western financing.

In an address to the nation on Russia’s actions against Ukraine, Biden said, “We’re imposing sanctions on 2 Russian financial institutions. Russia can no longer raise money from the West or no longer trade in Western markets. From tomorrow we’ll also impose sanctions on Russian elites and their families.”

The US’s announcement of sanctions comes after Germany and Britain moved sanctions on Russia earlier in the day.

German Chancellor Olaf Scholz suspended the certification process for the Nord Stream 2 natural gas pipeline, which directly links Russian gas to Europe via Germany. The UK imposed tough sanctions against five Russian banks and three businessmen, which Prime Minister Boris Johnson described as the “first tranche” of measures.

The European Union has also imposed sanctions on several Russian officials as well as banks financing the Russian armed forces.

Meanwhile, Russian President Vladimir Putin ordered the deployment of troops to the two breakaway regions in eastern Ukraine.

Follow Russia-Ukraine crisis LIVE updates

On Monday, Russian President Vladimir Putin recognized the independence of two separatist regions of Ukraine — Donetsk and Lugansk. Putin also signed friendship and aid agreements with the Russia-backed separatist leaders of Ukraine, which means Moscow can now move its troops in the breakaway regions as a “peacekeeping” measure.

READ | Why Russia wants Ukraine so badly

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