Page 7 - MEOG Week 33 2022

MEOG POLICY & SECURITY MEOG

Officials raise prospect of sanctions

on Turkey over Russia ties

TURKEY WESTERN capitals are more and more alarmed Commitments agreed upon in Sochi were
by the deepening ties between Turkey’s presi- largely described in vague terms by Russian and
dent Recep Tayyip Erdogan and Russian leader Turkish officials. Putin and Erdogan, according
Vladimir Putin, raising the prospect of punitive to a joint statement put out after their meeting,
retaliation against Ankara if it assists Russia in agreed to boost cooperation in the transport,
avoiding sanctions, according to the Financial agriculture, finance and construction industries.
Times, which cited six Western officials. Offering a little more detail on some financial
The officials reportedly stated that they were cooperation, Russian Deputy Prime Minister
concerned about the commitment made by the Alexander Novak told reporters after the talks
Turkish and Russian leaders to increase trade that Russia and Turkey would move to partial
and energy cooperation after the two held talks payment in rubles for Russian gas deliveries
that lasted four hours in Russian Black Sea resort as the countries continued with a gradual shift
Sochi on August 5. toward settlement in national currencies. He
One EU official was reported as saying the didn’t, however, indicate how much of what he
27-member bloc was monitoring Turkish-Rus- stated was 26bn cubic metres of gas sent yearly
sian relations “more and more closely”. A senior to Turkey would be paid for in rubles.
Western official was quoted as suggesting coun- Another specific deal should see Ankara
tries could appeal to their companies and banks making it possible in the near future for Rus-
to withdraw from Turkey if Erdogan went ahead sian Mir payment cards to be used in Turkey.
with intentions he outlined after the meeting Bloomberg reported that five Turkish banks
with Putin. were set to adopt the Russian payment system.
There’s no doubt that Erdogan, anxious to Prior to the meeting, Erdogan said in com-
obtain every advantage he can for economically ments broadcast on Turkish television: “Our
imperilled Turkey ahead of elections that must meeting will be completed and open a very dif-
be held within the next 11 months, is testing the ferent page in Turkey-Russia relations.”
limits when it comes to working around Ukraine There are observers who speculate that the
war sanctions on Russia. bne IntelliNews meeting dealt with plenty more than was pub-
reported on August 4 how Turkish press reports licly discussed by Russian officials such as Novak
describe Turkey’s port warehouses as packed full after it concluded.
with goods bound for Russia. A Ukrainian government report outlined
The FT pointed out that even without an EU by the Washington Post said prior to the talks
agreement to take action against Turkey assist- that Putin would seek Russian stakes in Turkish
ing Russia in circumventing sanctions, some oil refineries, terminals and reservoirs in a bid
individual member states of the bloc could take to disguise the origin of Russian oil exports in
action. advance of a planned EU oil embargo on Mos-
“For example, they could ask for restrictions cow. The newspaper also said that Russia could
on trade finance or ask the large financial com- pursue correspondent accounts for large Russian
panies to reduce finance to Turkish companies,” banks looking to circumvent sanctions.
one official was reported as saying, adding: “I The Russian government made no comment
would not rule out any negative actions [if] Tur- on the report and there was no outward sign that
key gets too close to Russia.” Turkey would consider such proposals.
The talk of potential retaliation against Nato Other claims that the two leaders planned to
member Turkey come after Ukraine intercepted discuss more than their economic cooperation
a document from Moscow that outlines meth- were sparked by Russian journalists noting that
ods to assist Russia in evading sanctions through Ramzan Kadyrov, the Chechen leader who has
Turkish banks, according to a Ukrainian intelli- sent forces under his command to the conflicts
gence official and a western diplomat referred to in both Syria and Ukraine, was in attendance in
by the UK financial daily. Sochi.
Washington has several times warned that The fact that Turkey, a Nato member, has not
it will target countries that help Russia to evade sanctioned Russia over events in Ukraine con-
sanctions with “secondary sanctions”. US deputy tinues to frustrate some partners in the West, yet,
secretary of the Treasury Wally Adeyemo met as always, Ankara knows it has a unique strategic
Turkish officials and Istanbul bankers in June. position at the crossroads of Europe, Russia and
He cautioned them not to allow boltholes for the Middle East, and will make every effort to
illicit Russian assets. exploit it.™

Week 33 17•August•2022 www. NEWSBASE .com P7