Biden Boasts Russian Economy Is ‘Reeling’ in State of the Union Address

 

The US and its allies have imposed a series of harsh sanctions since Russia started its assault on Ukraine

by Dave DeCamp 

Posted onMarch 1, 2022CategoriesNewsTagsRussia

During Tuesday night’s State of the Union address, President Biden boasted that Russia’s economy is now “reeling” after Western sanctions were implemented in response to Russian President Vladimir Putin’s assault on Ukraine.

The US and its allies have imposed a series of harsh sanctions that aim to isolate Russia from the global financial system and cut off some Russian banks from the SWIFT international payment system. “We are inflicting pain on Russia and supporting the people of Ukraine. Putin is now isolated from the world more than ever,” Biden said.

Since the sanctions were implemented, Russia’s stock market has taken a hit, and the Ruble has lost value against the dollar. “The Ruble has lost 30% of its value. The Russian stock market has lost 40% of its value and trading remains suspended. Russia’s economy is reeling and Putin alone is to blame,” Biden said.

Biden announced new measures against Russia, including a Justice Department task force that will try to seize “yachts, luxury apartments, and private jets” that belong to “Russian oligarchs.”

Biden also announced that he is closing American air space to Russian flights. “And tonight I am announcing that we will join our allies in closing off American air space to all Russian flights — further isolating Russia — and adding an additional squeeze on their economy,” he said.

The sanctions and economic pressure have been shrugged off by Russian officials as Moscow has been preparing to shield itself from sanctions since 2014. Russia is also expanding its trade relationship with China, and the two powers have recently inked massive oil deals.

There is no doubt that Russia’s economy will initially take a serious hit from these sanctions, but the impact is going to mostly fall on ordinary citizens, as US economic pressure typically does. And the sanctions were factored into Putin’s plans to move on Ukraine, so there’s little reason to believe the economic measures will stop his assault.

Biden went on to explain that the US and its allies are giving Ukraine new military aid. “Together with our allies we are providing support to the Ukrainians in their fight for freedom. Military assistance. Economic assistance. Humanitarian assistance,” he said.

For the first time, the US will be providing Ukraine with Stinger anti-aircraft missiles, marking an escalation in Washington’s arming of Kyiv. The US is also sending more troops and military hardware to NATO countries in Eastern Europe that border Russia and Ukraine.

But Biden reiterated that he doesn’t have plans to enter Ukraine and fight Russia directly. “Let me be clear, our forces are not engaged and will not engage in conflict with Russian forces in Ukraine,” he said.

https://news.antiwar.com/2022/03/01/biden-boasts-russian-economy-is-reeling-in-state-of-the-union-address/