Dáil Éireann Debate, Tuesday - 26 July 2022
995. Deputy Brendan Griffin asked the Minister for Foreign Affairs the measures that Ireland proposes to take to ensure that Russia feels the optimum impact of sanctions; his views that the measures implemented to date have been inadequate and ineffective; and if he will make a statement on the matter. [41733/22]
View answerThe EU has imposed the most significant sanctions in its history in response to the situation in Ukraine. In total, EU sanctions in respect of actions undermining or threatening the territorial integrity, sovereignty and independence of Ukraine now apply to a total of 1,212 individuals and 108 entities.
Sectoral sanctions target the financial, energy, technology, defence and transport sectors, and Russian media involved in propaganda. The sale of EU luxury goods to Russia is prohibited, as is the import from Russia and Belarus of certain products. Restrictions have also been introduced on economic relations between the EU and the breakaway regions of Donetsk and Luhansk.
EU sanctions are being refined on a continuous basis to ensure that they have maximum impact. The most recent sanctions package was adopted on 21 July. It contains a range of measures aimed at clarifying and tightening existing sanctions, aligning with other like-minded States, and preventing circumvention. Among the measures introduced is a ban on Russian-origin gold, which is Russia's most significant export after energy.
While the impact of individual sanctions measures may not all be seen immediately, there is no doubt about the collective impact on the Russian economy. GDP is predicted to record a steep decline in 2022, with recent estimates ranging from 8 to 15 percent. Restrictions on the import to Russia of high-tech components are proving particularly effective, and are feeding through to significant declines in industrial production. This is beginning to impact on Russia’s ability to replenish military equipment, and will also impact on the oil and gas production sectors.
It is true that Russia continues to derive very significant income from the export of hydrocarbons. However, by the end of this year, the bulk of Russian oil will be banned from the EU, depriving Russia of a key source of energy income. Ireland stands ready to ban all oil and gas imports immediately, though we recognise that some EU Member States are highly dependent on Russian imports and that energy security considerations cannot be ignored. The European Commission is currently looking at ways to reduce the EU’s dependency on Russian gas.
To date, Irish financial institutions have frozen assets valued at €1.76 billion. This is not an insignificant figure, and when combined with frozen assets from all other EU Member States, it demonstrates the very real impact of sanctions on figures and entities connected to Russia’s leadership and war effort.
