More sanctions against Russia in the works after the mobilization, Hungary is obstructive

The upcoming new sanctions, already the eighth package, have yet to be worked out. It is currently due to be voted on in mid-October.

Countries present proposals for such a package of sanctions. The draft proposal from Poland and the Baltic states of Latvia, Estonia and Lithuania states that more Russian banks should be cut off from the Swift payment system, the important system for banks operating around the world. reports the Financial Times (FT). According to Politico, this includes Gazprombank, which has so far been spared.

In addition, Poland and the Baltic states want to target the Russian IT sector and ban the import of Russian diamonds. A country like Belgium is again contrary because he would lose a lot of income with the diamond city of Antwerp.

Orbán: remove sanctions

On the other side is Hungary. That country claims to be itself the victim of sanctions against Russia. This is why Hungarian Prime Minister Viktor Orbán wants all EU sanctions against Russia to be lifted, revealed the Hungarian newspaper Magyar Nemzet on Wednesday evening. According to Orbán, not Russia, but the “Brussels sanctions” have plunged Europe into an energy crisis and the Hungarian people must be protected against this.

In principle, a sanctions package will only come into effect if all 27 EU countries accept it unanimously. But Hungary previously imposed an exception to the Russian oil embargo, which excluded a pipeline carrying Russian oil to Hungary. Only then did the Hungarians agree sixth package of sanctions which was adopted in June.

Hungary has long disagreed with Brussels, especially now that the European Commission has around € 7.5 billion from EU funds does not want to pay before Orbán takes action against corruption and fraud with European money.

Oil price ceiling

Oil is again at the top of the agenda this time around. And more specifically the so-called ‘oil price cap’, which should set a maximum price for the oil that Russia sells. Large industrialized countries such as the United States, Germany, France and Japan want to introduce this measure so that Putin will soon receive less money for his chest.

The elaboration of such a ceiling on the price of oil causes headaches. In addition to how high the maximum price should be, the question is which parts of the market should cooperate in the measures and how the ceiling can exist in addition to the oil boycott already in place. Furthermore, a cap for Russia could lead to a higher market price for all oil.

Meanwhile, EU foreign ministers have also approved new arms supplies to Ukraine. No details have been released on which weapons are involved and in what quantity.

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