Moscow (AsiaNews) - For Moscow, fresh US sanctions announced yesterday, are "Illegal", "baseless" and "useless" to solve the crisis in Ukraine. The measures are the most severe taken so far against the Russian Federation.
President Vladimir Putin, in Brasilia on an official state visit, immediately said the sanctions were driving relations between Russia and the US "into a corner".
US President Barack Obama announced fresh restrictions against Russian banks (VTB and Gazprombank), defence firms (Kalashnikov) and energy companies like oil giant Rosneft and state gas producer Novatek, which is owned by a Putin crony.
Both companies, which are now barred from obtaining long-term loans from the US, fell 5.4 per cent and 6.8 per cent respectively.
The new package of US (and later EU) sanctions has already been felt on the ruble, which has dropped against the dollar and the euro.
The Russian Foreign Ministry warned that Washington's blackmail would not be tolerated and that Moscow might take retaliatory measures.
People like the deputy speaker of the Russian Duma and politicians of the two self-proclaimed republics of Donetsk and Lugansk, in eastern Ukraine, are also on the black list.
For now at least, de-escalation is not in the cards for now. In fact, Russian Prime Minister Dmitri Medvedev, who called for a reset in relations with the United States, said that not only is there a risk that relations between Moscow and the West will go back to those of the 1980s, but that Russia might be pushed to boost its spending on defence and national security.
After Washington, the EU also decided to tighten sanctions. By the end of July, more individuals and companies will be affected because of their financial or material assistance to efforts to undermine the sovereignty of Ukraine, EU officials said in Brussels.
The European Union agreed to suspend new investments in Russia by the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB).
The EU has imposed sanctions on 72 Russians and Ukrainians, but given the close economic ties between Russia and countries like France, Italy and Germany, it has avoided so far measures against public or private companies,.
The Russian Foreign Ministry said that Russia remained open to dialogue with the European Union, noting its disappointment that the EU would go against its own interests and give in to US blackmail by adopting sanctions. (NA)