Western Sanctions on Russia (2014-2025)

Source: Compiled from public sources, including the Council on Foreign Relations, US Treasury, and European Council. Date: September 2025

This document provides a summary of the major economic and financial sanctions imposed on the Russian Federation by a coalition of Western countries, primarily led by the United States and the European Union. These sanctions were initiated in 2014 in response to the annexation of Crimea and were massively expanded following the full-scale invasion of Ukraine in February 2022.

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Objectives

The stated objectives of the sanctions are to:

• Impose severe economic costs on Russia for its aggression.
• Degrade the capabilities of the Russian military and its industrial base.
• Restrict Russia’s access to the technologies and financial resources needed to wage war.
• Counteract Russian disinformation and malign influence operations.

Key Sanctions Measures

The sanctions regime is multi-faceted and has been implemented in several waves. Key measures include:

1. Financial Sanctions

• Central Bank Asset Freeze: A significant portion of the Russian Central Bank’s foreign reserves held in Western jurisdictions (estimated at over $300 billion) were frozen in 2022, severely limiting its ability to stabilize the ruble and finance the war effort.
• SWIFT Cut-off: Several major Russian banks have been disconnected from the SWIFT international payments system, hindering their ability to conduct international transactions.
• Debt and Equity Restrictions: Restrictions have been placed on Russia’s ability to raise new sovereign debt and on the trading of Russian state-owned enterprise securities.
• Targeted Sanctions on Banks: Dozens of Russian financial institutions, including its largest banks, have been subject to full blocking sanctions, cutting them off from the US and EU financial systems.

2. Energy Sanctions

• Oil Price Cap: G7 countries, the EU, and Australia implemented a price cap on Russian seaborne crude oil and petroleum products. The policy aims to reduce Russian revenues while keeping Russian oil on the global market to prevent price spikes.
• Import Bans: The United States has banned all imports of Russian oil, gas, and coal. The EU has banned all seaborne imports of Russian crude oil and petroleum products.
• Technology Export Controls: The export of technologies and services critical to Russia’s energy sector has been severely restricted.

3. Export Controls and Trade Sanctions

• Dual-Use Goods: Strict export controls have been placed on a wide range of dual-use goods (items with both civilian and military applications) and advanced technologies, particularly those that could be used to enhance Russia’s military and industrial capabilities.
• Luxury Goods and Industrial Materials: Bans have been imposed on the export of luxury goods to Russia and the import of key Russian industrial materials, such as steel and iron.

4. Individual Sanctions (Asset Freezes and Travel Bans)

• Oligarchs and Elites: Hundreds of Russian oligarchs, government officials, and their family members have been sanctioned, their assets frozen, and their ability to travel to Western countries restricted.
• Government Officials: Sanctions have been imposed on key figures in the Russian government, including President Vladimir Putin, Foreign Minister Sergey Lavrov, and members of the State Duma.

Current Status (September 2025)

By September 2025, the sanctions regime remains in place and has been progressively tightened. The focus has shifted towards:

• Countering Evasion: Implementing measures to crack down on sanctions evasion through third countries and complex financial networks.
• Secondary Sanctions: The US has increasingly used the threat of secondary sanctions to deter financial institutions in third countries from facilitating transactions with Russia’s military-industrial base.
• Harmonization: The EU and its partners continue to work on harmonizing their sanctions regimes and enforcement mechanisms to maximize their impact.

While the sanctions have imposed significant costs on the Russian economy, their ultimate effectiveness in compelling a change in Russian policy remains a subject of ongoing debate.