As part of the new package of restrictions aimed at Moscow, the European Union plans to use for the first time a mechanism to counteract the circumvention of sanctions, which will prohibit the export of machinery and certain radio equipment to Kyrgyzstan.
According to Bloomberg, the EU will also impose restrictions on Russian banking institutions and oil companies, as well as on services in the field of cryptocurrencies and financial structures from third countries that help Moscow evade EU sanctions.
The proposed package also includes new trade restrictions for additional companies and goods necessary for Russia to produce weapons, as well as restrictions on the import of a number of Russian metals, sources added.
Note:
Since the beginning of 2022, more than 20 companies from Kyrgyzstan have been placed under sanctions by the U.S. and U.K. Treasury. Among them are major banks and oil and gas companies. Secondary sanctions against the country concern not only financial institutions and the oil sector but also companies engaged in supplies:
- telecommunication and electronic equipment,
- IT infrastructure,
- aviation fuel,
- air transport and other goods.
Economist Robin Brooks from the Brookings Institution reported a significant increase in export supplies from Europe to Kyrgyzstan: supplies from Estonia increased by 10,000%, from Finland by 3,100%, from Poland and Greece by 2,200% and 2,100% respectively, as well as from Norway, the United Kingdom, Germany, and the Czech Republic by more than 1,000%.
