President Obama was in Europe Monday, discussing economic pressure on Russia. He’s also warning of potentially stronger sanctions, “a greater cost,” if Russia keeps at it in Ukraine.
Current sanctions include a number of Russian government officials and oligarchs, as well as Bank Rossiya, described by the U.S. Treasury Department as “the personal bank for senior officials of the Russian Federation.”
On its face, sanctioning one bank and a handful of Russian billionaires may not sound like a sweeping move. But because of their broad network of affiliated companies and deep involvement with Russian business and politics, the impact could potentially be more widespread than it may first appear.
Russia’s currency and stock market have both fallen in recent days, impacting an economy that was lacklustre even before the crisis in Ukraine. Now potential investors in Russia are thinking twice, worried that the next round of sanctions could target their interests. That means Russia could lose out on the business deals and investment it needs.
Russia’s Economy By The Numbers, by Marketplace’s Tobin Low
How much Russia’s key index is down. YTD, representing tens of billions in company value destroyed.
How much the conversion rate of 1 ruble to $1 has fallen.
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