The UK will ban Russian gold imports

Ukraine will ban Russian gold imports from the United Kingdom, the United States, Canada and Japan in an attempt to undermine Moscow's power to finance the war.

Photo: Collected

Business Desk

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This information has been given in the report published by BBC.

The United Kingdom has said the move would hit the heart of Putin's war machine.

In 2021, Russia exported 15.4 billion dollars worth of gold. The United Kingdom has said the gold has grown in importance since the start of the Ukraine conflict. Because oligarchs are flocking to buy bullion to avoid sanctions.

The news comes at a time when the G7 group of the world's richest countries is meeting in Germany.

Read more: Death of a Brazilian model who joined the war in Ukraine

In addition, other G7 countries (Germany, France and Italy) will join the move to impose sanctions - suggested US President Joe Biden.

The Prime Minister of the United Kingdom Boris Johnson has stated that this is not the case with the Putin government. That is exactly what the United Kingdom and our allies are doing.

London is a major global trading center for gold. So the UK government says the move will have a huge impact on President Putin's ability to raise funds.

Since the start of Russia's military operation in Ukraine in February this year, Western countries have imposed various sanctions on Russia's wealthy individuals, banks, businesses and state-owned enterprises.

The United States, the European Union, the United Kingdom and other countries have so far banned more than 1,000 Russian individuals and businesses.

Read more: Russia imposes new sanctions

The new move by the UK will affect Russia's export trade worth about 13.5 billion pounds. The country says a ban on Russian gold imports will take effect soon. The law will be introduced in Parliament next week.

However, the ban will apply to newly mined or refined gold and will not affect gold previously exported from Russia.

In addition, there are no plans to impose restrictions on legally purchased Russian gold before the import ban takes effect.

The G7 summit in Bavaria is expected to discuss the international response to the Ukraine conflict, as well as rising prices and the global food crisis.