Poilievre will do 'anything to win,' must condemn Alex Jones endorsement: Trudeau
Prime Minister Justin Trudeau is ramping up his attacks on Conservative Leader Pierre Poilievre as he promotes his government's federal budget.
Russia appears to have defaulted on its foreign debt for the first time since the 1917 Bolshevik Revolution, and the U.S. and its allies are taking aim at the former Soviet Union's second largest export industry after energy -- gold.
On Tuesday, the Group of Seven nations agreed on a ban on Russian gold imports in the latest round of sanctions over Russian President Vladimir Putin's invasion of Ukraine.
The U.S. says Russia has used gold to support its currency as a way to circumvent the impact of sanctions. One way to do that is by swapping gold for a more liquid foreign exchange that is not subject to current sanctions.
Some experts say since only a few countries are implementing the gold ban, the move is largely symbolic, while others, including those in the Biden administration, say a ban on imports of Russian gold will target its ability to interact with the global financial system.
How a G7 Russian gold ban would work:
Secretary of State Antony Blinken told CNN on Sunday that since gold is Russia's second most lucrative export after energy and nearly 90% of the revenue comes from G7 countries, "cutting that off, denying access to about $19 billion of revenues a year, that's significant."
"It can't acquire what it needs to modernize its defence sector, to modernize its technology, to modernize its energy exploration," Blinken said.
Russia began increasing its gold purchases in 2014, after the U.S. issued sanctions on Russia for Putin's invasion of Crimea. Now the country holds US$100 billion to $140 billion in gold reserves, which is roughly 20% of the holdings in the Russian Central Bank, according to U.S. officials.
While Russia will still be able to sell gold to other countries outside the Group of Seven jurisdiction, it will "impact the ability of Russia to earn export revenue," says Chris Weafer, a Russian economy analyst at consulting firm Macro-Advisory.
"It's that high level of export receipts that is sustaining the country and sustaining the economy since sanctions were ratcheted up after February 24th," Weafer said.
In practice, it could result in civil or criminal penalties on people who come from countries that have agreed on a gold ban from Russia.
Swiss customs officials on Friday said they are tracking roughly 3 tons of Russian gold -- worth more than $202 million -- that entered Switzerland from the United Kingdom last month as they monitor potential violations of economic sanctions against Russia.
In March, the U.S. and its allies moved to block financial transactions with Russia's Central Bank that involve gold, aiming to further restrict the country's ability to use its international reserves. That came after calls from members of Congress to restrict Russia's gold trade.
The Treasury Department issued guidance that American individuals, including gold dealers, distributors, wholesalers and buyers, and financial institutions are generally banned from buying, selling or facilitating gold-related transactions involving Russia and the various parties that have been sanctioned.
Like the thousands of sanctions imposed on Russia through a variety of means, the gold import ban is meant to isolate Russia economically, starve its funding arm and prevent money laundering.
British Prime Minister Boris Johnson said at the G7 meetings in Elmau, Germany, that the ban will "directly hit Russian oligarchs and strike at the heart of Putin's war machine."
"Putin is squandering his dwindling resources on this pointless and barbaric war. He is bankrolling his ego at the expense of both the Ukrainian and Russian people," Johnson said.
A White House official told reporters the ban is yet another way to block off paths between the Russian economy and the broader global financial system.
____
Do you have any questions about the attack on Ukraine? Email dotcom@bellmedia.ca.
Prime Minister Justin Trudeau is ramping up his attacks on Conservative Leader Pierre Poilievre as he promotes his government's federal budget.
A Winnipeg man said a single date gone wrong led to years of criminal harassment, false arrests, stress and depression.
New video evidence uncovered by CNN significantly undermines two Pentagon investigations into an ISIS-K suicide attack outside Kabul airport, during the American withdrawal from Afghanistan in 2021.
A Toronto couple are speaking out about their 'extremely dangerous' experience on board a sinking tour boat in the Dominican Republic last week.
There are 63 wildfires burning in Alberta's forest protection area as of Wednesday morning and seven mutual aid fires, including one in the Municipal District of Peace.
Arrests have been made after five men were captured on video rampaging through a jewelry store in Toronto, waving weapons and smashing glass display cases.
A Polish pilot proposed to his flight attendant girlfriend during a flight from Warsaw to Krakow, and she said yes.
The federal government has added $36.4 million to a program designed to support people who have been seriously injured or killed by vaccines since the end of 2020.
The RCMP says a former SNC-Lavalin executive has been sentenced to three and a half years in prison in connection with a bribery scheme for a bridge repair contract in Montreal.
A property tax bill is perplexing a small townhouse community in Fergus, Ont.
When identical twin sisters Kim and Michelle Krezonoski were invited to compete against some of the world’s most elite female runners at last week’s Boston Marathon, they were in disbelief.
The giant stone statues guarding the Lions Gate Bridge have been dressed in custom Vancouver Canucks jerseys as the NHL playoffs get underway.
A local Oilers fan is hoping to see his team cut through the postseason, so he can cut his hair.
A family from Laval, Que. is looking for answers... and their father's body. He died on vacation in Cuba and authorities sent someone else's body back to Canada.
A former educational assistant is calling attention to the rising violence in Alberta's classrooms.
The federal government says its plan to increase taxes on capital gains is aimed at wealthy Canadians to achieve “tax fairness.”
At 6'8" and 350 pounds, there is nothing typical about UBC offensive lineman Giovanni Manu, who was born in Tonga and went to high school in Pitt Meadows.
Kevin the cat has been reunited with his family after enduring a harrowing three-day ordeal while lost at Toronto Pearson International Airport earlier this week.