The President of Russia signed a decree on retaliatory sanctions against unfriendly countries

2019
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Image source: topwar.ru

The Russian President signed a decree on retaliatory sanctions measures against those countries that had previously imposed several packages of anti-Russian sanctions. The decree is called "On the application of special economic measures in connection with the unfriendly actions of some foreign States and international organizations."

In the text of the decree, a ban is prescribed for Russian counterparties to make transactions with those individuals and legal entities against whom sanctions measures of the Russian Federation are in effect. No public authority, including local authorities, has the right to make transactions with sub-sanctioning structures, to fulfill obligations under previously concluded transactions, if such transactions are not 100% fulfilled at the moment.

It is prohibited to carry out financial transactions that may benefit those structures and persons who are included in the Russian sanctions lists.

The decree also prohibits the export of raw materials and products from the Russian territory if they are supplied abroad to sub-sanctioned structures or persons affiliated with them.

Full text of the presidential decree:

Image source: topwar.ru

Image source: topwar.ru

Image source: topwar.ru

Based on the letter of the decree, it can be said that foreign sub-sanctioned structures may lose supplies of virtually any goods produced in Russia and any minerals extracted in the Russian Federation. Thus, Moscow may deprive European sub-sanctioning structures of gas supplies if they do not accept the conditions of the Russian Federation for payment through ruble accounts in a Russian bank. Also, unfriendly countries may lose supplies of fertilizers, grain (and other food), fuel, uranium (including enriched for the nuclear industry), nickel, products for high-tech industries, aircraft and rocket engines, and much more.

Among other things, the decree actually allows the Russian side not to pay debts to unfriendly countries and companies from those. This can be considered as partial compensation for the freezing (actual theft by Western countries) of Russian assets.

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