Putin signs decree on special economic measures against US, allies

Russian President Vladimir Putin signed a decree "on the application of special economic measures against the United States and countries that have joined them," the Kremlin press service reported.

Exporters must sell 80% of foreign exchange earnings credited starting January 1, 2022, according to the regulation, as reported by the Kremlin press service.

"For residents participating in foreign economic activity to carry out the mandatory sale of foreign currency in the amount of 80% of the amount of foreign currency credited starting from 1 January 2022 to their accounts in authorized banks on the basis of foreign trade contracts concluded with non-residents and providing for the transfer of goods to non-residents, the provision of services to non-residents, performance of work for non-residents, transfer to non-residents of the results of intellectual activity, including exclusive rights to them, no later than three working days from the date this decree comes into force,” the decree says.

The decree prohibits Russian citizens from transferring foreign cash to their accounts or making deposits in foreign banks.

US dollar transactions with the Russian central bank will be prohibited, and the Russian direct investment fund will be completely blocked.

In response to the Russian operation in Ukraine, which came in support of the Donetsk and Lugansk people's republics against the intensified aggression of Ukrainian troops, Western countries announced a new package of sanctions against Moscow. Kremlin Spokesperson Dmitry Peskov said that Russia had been preparing for the Western sanctions in advance.