ANNOUNCEMENT 06 Jun 2022

In June 2022, the U.S. Department of Treasury banned U.S. investors from buying Russian debt and equity securities.

NUMBER OF INTERVENTIONS

1

  • 1 harmful
  • 0 neutral
  • 0 liberalising

SOURCE

U.S. Department of Treasury, Office of Foreign Assets Control, Publication of new and amended Russia-related Frequently Asked Questions. Available at: https://home.treasury.gov/policy-issues/financial-sanctions/recent-actions/20220606_33

Inception date: 06 Jun 2022 | Removal date: open ended

Controls on commercial transactions and investment instruments

On 6 June 2022, the U.S. Treasury issued guidance on sanctions against Russia due to their invasion of Ukraine. Specifically, the Office of Foreign Assets Control (OFAC) of the U.S. Department of Treasury announced that U.S. persons are prohibited from purchasing new and existing debt and equities issued by Russian entities.

U.S. Treasury noted that this measure does not prohibit U.S. persons from selling or divesting Russian debt or equity securities to a non-U.S. person. U.S. persons are also allowed to continue to hold previously acquired securities.

In this context, a Treasury spokesperson said: “Consistent with our goal to deny Russia the financial resources it needs to continue its brutal war against Ukraine, Treasury has made clear that U.S. persons are prohibited from making new investments in the success of Russia, including through purchases on the secondary market.”

Previously, the U.S. Administration prohibited new investments in Russia by U.S. persons (see related state act).

 

AFFECTED SECTORS

 
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AFFECTED PRODUCTS

 
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