US removes sanctions on Russia for overflight payments & emergency landings

In a major development, the United States has announced waiving the sanctions that they had imposed against Russia concerning overflight payments, emergency landings and air ambulance services. The announcement has been made by the US Treasury Department in a statement on Thursday, 5 May. The US administration will permit the wind-down transactions with Russian Sber Bank subsidiaries with Russia's Sberbank subsidiaries in Kazakhstan and Europe from July 12, Sputnik reported. 

In the statement, the US administration has announced that allowing the "Overflight payments, Emergency Landings and Air Ambulance Services with an exception of those provided in the paragraph of the general license and "all transactions ordinarily incident" and services taken in connection with overflights of the Russia or emergency landings in Russia by flights registered in the US that have been prohibited by the Russian Harmful Activities sanctions regulations have now been permitted, as per the Sputnik report. Furthermore, the Biden administration has allowed the Wind-down of transactions involving Joint Stock Company SB Sberbank Kazakhstan, Sberbank Europe AG or Sberbank (Switzerland) AG or any entity which included the blocked Sberbank subsidiaries that had been prohibited by Executive order will be allowed from midnight on July 12.

US open to announcing new sanctions against Russia: Biden 

It is pertinent to note here that the US along with several EU nations have been imposing sanctions against Russia. EU nations have been offering military and humanitarian assistance to Ukraine which continues to resist Russian forces for over 70 days. Earlier on May 4, US President Joe Biden stated that their administration is open to considering the idea of imposing additional sanctions against Russia and that the country will consult with partners in the Group of Seven advanced economies on the issue. Biden made the remarks while speaking to reporters at the White House. In the meantime, the European Union has proposed more sanctions against Russia, including a ban on Russian oil imports. European Commission President Ursula von der Leyen on May 4, proposed a new package of sanctions against Russia that would include a total oil embargo on the Russian oil imports.  Ursula von der Leyen proposed disconnecting Russia’s largest bank Sberbank and at least two other major banks from the SWIFT international banking payment system.  She called for imposing a ban on three big Russian state-owned broadcasters from the EU's airwaves. These broadcasters will not be permitted to distribute their content in the European Union. 

"With regard to the additional sanctions: We’re always open to additional sanctions, and I’ve been in consultation.  I’ll be speaking with the members of the G7 this week about what we’re going to do or not do, number one," US President Joe Biden said. 

Image: AP