Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

EU reaches preliminary deal on Russia economic sanctions  Join our daily free Newsletter

MENAFN - Arab News - 26/07/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab News) USSELS: European Union ambassadors reached a preliminary agreement on Friday to push ahead with hard-hitting economic sanctions against Russia over the Ukraine crisis but details remained to be worked out diplomats said.The 28-nation EU has toughened its stance toward Moscow since last week's downing of a Malaysian airliner in an area of eastern Ukraine held by Russian-backed separatists.After a discussion that lasted all day Thursday and part of Friday ambassadors asked the EU's executive Commission to draw up a legal text setting out economic sanctions that the EU would impose for possible agreement next week.Key measures suggested by the Commission included closing EU capital markets to state-owned Russian banks an embargo on arms sales to Moscow and restrictions on the supply of energy and dual-use technologies. They would not affect current supplies of oil gas and other commodities from Russia diplomats said.One EU official said there was 'an overall preliminary agreement on the concept" but ambassadors would hold more discussions next week on the basis of the legal text.Maja Kocijancic spokeswoman for EU foreign policy chief Catherine Ashton said there was still work to be done.'The direction of travel here is very clear but we are still traveling" she told reporters.It was not immediately clear if the legal text would include all the options identified by the Commission. But EU officials said it would cover all four areas where sanctions have been proposed restrictions on Russian access to European financial markets defense and energy technology and equipment useful for both defense or civilian purposes.Separately the EU was due to publish later the names of 15 individuals and 18 entities including companies subject to asset freezes for their role in supporting Russia's annexation of Crimea and destabilization of eastern Ukraine.Member states will scrutinize the draft legal text over the weekend and give their feedback to the Commission on Monday one diplomat said. A revised draft may be adopted on Tuesday he said.Remaining stumbling blocks were over issues such as existing contracts as well as on a so-called 'off-ramp" how to scale back sanctions if Russia began to play a more constructive role in de-escalating the situation in Ukraine the diplomat said.Russia said around 40 mortar shells fired by Ukrainian forces fell on Friday in its Rostov province near the border with eastern Ukraine where Kiev is fighting pro-Russian separatists.'Around 40 mortar shells have fallen from Ukraine ... in Rostov province" Vasily Malayev a representative of the region's Federal Security Service devoted to border security was cited by the state Ria Novosti news agency as saying.Russia's central bank moved on Friday to shield the country's economy from tightening Western economic sanctions over Ukraine raising its main interest rate in a surprise move.The Bank of Russia explained its decision to raise its main rate by half point to 8.0 percent by saying that 'inflation risks have increased due to a combination of factors including inter alia the aggravation of geopolitical tension and its potential impact on the ruble exchange rate dynamics." Dutch Prime Minister Mark Rutte whose country is seen as having a key role in shaping the EU response because it lost 194 citizens in the plane crash said he would back sanctions unless Moscow halts weapons supplies to the rebels.'We want as a country that has acquired a certain moral obligation as a result of this tragedy to promote Europe taking a common line on this" he told a parliamentary committee in The Hague.'All indications are that Russia is continuing to arm the separatists" Rutte said telling lawmakers he had spoken six times to Russian President Vladimir Putin since the disaster. 'There's an easy way out for Russia: to distance themselves from the separatists and stop arming them." The issue of upholding existing contracts with Russia is sensitive for France which has agreed to sell Mistral helicopter carriers in a 1.2 billion euro (1.61 billion) deal.Another difficulty is balancing the pain of imposing the sanctions among EU member states. Britain is strong in financial services Germany in technology and machinery France in arms sales while Italy is heavily dependent on Russia for energy.'To a degree everyone is reverting to trying to protect their own national interests from harm" a senior European diplomat said.It remains to be decided whether a special summit of EU leaders will be needed to approve the proposals. European Council President Herman Van Rompuy is expected to contact leaders to consult them on the way forward an EU source said.European Commission spokesman Jonathan Todd said the economic sanctions would require a 'political level decision" but it was up to member countries to decide 'whether or not the heads of state or government would actually physically have to come to Brussels and sit in a room to give their agreement." Under proposals put forward by the Commission the EU would target state-owned Russian banks vital to financing Moscow's faltering economy.Under the proposal European investors would be banned from buying new debt or shares of banks owned 50 percent or more by the state. These banks raised almost half their 15.8 billion euro (21.29 billion) capital needs on EU markets last year.The EU is also weighing restricting exports of technology for deep-sea drilling shale oil and Arctic energy exploration.

 


Arab News




  MENA News Headlines
 Feb 6 2016 - Saudi Arabia sees one IPO in Q4 raising USD 101mnMENAFN
(MENAFN) The last quarter (Q4) of last year viewed the sluggish main public offering (IPO) performance in Q3 proving that 2015 was an unstable year for IPOs in the GCC.Moreover, the kingdom viewed ...

 Feb 6 2016 - Industries Qatar net profit drops at 1.21bnMENAFN
(MENAFN) Industries Qatar, one of the area's industrial giants with interests in the production of a wide range of petrochemical, proclaimed its financial results for its net income.Additionally, net ...

 Feb 6 2016 - KSA health sector cuts spending by 50 percentMENAFN
(MENAFN) Saudi Ministry of Health asked its different departments to review recent inventories to ensure the availability of medicine and medical devices.Moreover, the reduction of health sector was ...

 Feb 5 2016 - Julius Baer signs final deal with the USThe Journal Of Turkish Weekly
(MENAFN - The Journal Of Turkish Weekly) Swiss bank Julius Baer has signed a deal with the United States authorities bringing an end to an investigation into how it helped US clients evade taxes. A ...

 Feb 5 2016 - Turkey- Merkel to travel Ankara to discuss Syria refugee crisisThe Journal Of Turkish Weekly
(MENAFN - The Journal Of Turkish Weekly) German Chancellor Angela Merkel will travel to Ankara on Monday for talks on Syria andthe refugee crisis her spokesman announced Friday. “The visit ...

 Feb 5 2016 - NATO: Russian airstrikes undermining non military efforts in SyriaThe Journal Of Turkish Weekly
(MENAFN - The Journal Of Turkish Weekly) NATO chief Jens Stoltenberg says Russia's airstrikes in Syria are undermining efforts to find a non-military solution to the conflict. Stoltenberg made the ...

 Feb 5 2016 - Syrian woman starves to death in besieged MadayaThe Journal Of Turkish Weekly
(MENAFN - The Journal Of Turkish Weekly) A Syrian woman starved to death on Thursday in the Syrian town of Madaya taking the death toll in the besieged town to 18 a local medical center said. ...

 Feb 5 2016 - Major players pin high hopes on Syria political solution skepticism remainsThe Journal Of Turkish Weekly
(MENAFN - The Journal Of Turkish Weekly) Despite frustration over a suspension of the third round ofSyriapeace talks major global players still believe that a political solution though difficult to ...

 Feb 5 2016 - Jordan's Joramco to spend USD10m on expansionMENAFN
(MENAFN) In response to expanding demand and an arising Iranian aviation market, Joramco, a Jordan-based aircraft heavy maintenance company, is planning to invest nearly USD10 million to expand its ...

 Feb 5 2016 - UAE's Career Fair 2016 kick-start with huge potentialMENAFN
(MENAFN) The Abu Dhabi City Municipality is participating in the Career Fair 2016, under the umbrella of the Department of Municipal Affairs, which launched in in Abu Dhabi National Exhibition ...

more...


 






Google

Internatinal Property Show

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help