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packet of shares to any one party. This foundation would comprise individuals who represent the state’s interest.
Unlike in 2019, Gorelkin’s current bill against foreign ownership of AV firms has attracted little attention in the Duma. It thus seems likely that this story will be a carbon-copy, less exciting version of its prequel. It’s ultimate effect will be increasing the Kremlin’s touch, even if just slightly, in the tech sector.
2.3 US and UK considering more sanctions, targeting Russian sovereign debt
The governments of the US and UK are considering another round of sanctions on Russia that would target sovereign debt, Bloomberg reported on March 5, citing two sources close to the discussions.
The US imposed symbolic sanctions on Russia on March 3 that targeted seven officials directly connected with the arrest and jailing of anti-corruption activist and opposition politician Alexei Navalny in February.
Those sanctions were considered light and the Russian bond and ruble rallied in the wake of the announcement.
However, these were only the first round of sanctions and investors fear that more sanctions are in the works, as US president Joe Biden has promised to be tougher on Russia than his predecessor US president Donald Trump.
The new round of sanctions, that may be announced in June, include additional penalties against Russia over the use of chemical weapons, with options ranging from sanctions against oligarchs to the extreme step of targeting the nation’s sovereign debt, according to people familiar with the matter, reports Bloomberg.
As bne IntelliNews reported some analysts expect the new sanctions to be light and say that the discount on Russian securities and the ruble is too high. However, the so-called nuclear option of sanctioning Russian sovereign debt is not off the table.
If Russia’s debt is sanctioned that would provoke an extremely harsh response from the Kremlin. Russian foreign minister Sergei Lavrov made it clear in a speech in February where he laid out new rules of the game that Russia would not tolerate any sanctions that “damage the Russian economy” and that reciprocity remained the Kremlin’s foreign policy in the sanctions war with the US.
British officials plan to push for the Organization for the Prohibition of Chemical Weapons to continue to pressure Russia to provide answers over its use of banned substances, and will raise potential measures with key European allies, including France and Germany, in the coming weeks, according to one of the people.
The US March sanctions were formed on the basis of the Chemical and
12 RUSSIA Country Report April 2021 www.intellinews.com