West targets Russia's elite by limiting 'golden passport' citizenship sales as it applies pressure on the country with further economic measures

February 27, 2022

West targets Russia's elite by limiting 'golden passport' citizenship sales as it applies pressure on the country with further economic measures

EC President von der Leyen speaks after Russia's attack on Ukraine in Brussels — EC President von der Leyen.
Kenzo Tribouillard/Pool via REUTERS

Western allies have targeted Russia's wealthiest by limiting the sale of "golden passports."
The measure can stop them from acquiring residency in a country through investments, for example.
The decision is part of new restrictive penalties imposed on Russia amid its invasion of Ukraine.

Western leaders are increasing the pressure on Russia by imposing further economic measures that target the country's wealthiest.

In a joint statement published by the European Commission on Saturday, the US, UK, Europe, and Canada announced they will limit the sale of "golden passports," which enables Russia's richest individuals to invest in a country in exchange for citizenship.

Western allies wrote in the statement: "We commit to taking measures to limit the sale of citizenship—so called golden passports—that let wealthy Russians connected to the Russian government become citizens of our countries and gain access to our financial systems."

The move comes in response to Russia's attack on Ukraine early Thursday morning, in what was termed a "full-scale" invasion.

President of the European Commission, Ursula von der Leyen, said in a tweet that the measures intend to "cripple Putin's ability to finance his war machine."

She added: "Putin embarked on a path aiming to destroy Ukraine. But what he is also doing, in fact, is destroying the future of his own country."

A golden passport comes with multiple benefits, which Russia's elite now stand to lose. This includes freedom of movement within the Schengen Zone for all family members.

The new wave of sanctions comes immediately after Western forces announced that select Russian banks will be ejected from the SWIFT banking system. The decision underscored a change of stance from some countries that initially opposed Russia's removal from SWIFT.

For example, Germany's foreign minister said Friday she did not believe a ban was the best course of action, per Reuters.

In the Saturday statement, the US, UK, Europe, and Canada vowed to "collectively ensure that this war is a strategic failure for Putin" with the new penalties.

Read the original article on Business Insider