Switzerland, leader in gold refining, bans the import of Russian gold

Switzerland banned imports of Russian gold and gold products on Wednesday, following similar measures by the European Union and the United States.

< p class="css-at9mc1 evys1bk0">The Federal Council, the seven-member executive council of the Swiss government, said in a statement that the gold ban aligns with the latest European Union sanctions against Russia in response to its invasion of Ukraine, and that Switzerland was "implementing the most urgent measures". measures in terms of time and substance."

The board added that it had frozen the assets of Russian state-owned bank Sberbank, after imposing sanctions last month last to dozens of other individuals and organizations on the European Union sanctions list.

“The Swiss list of individuals and entities sanctioned in connection with the Ukraine's situation is therefore fully in line with that of the EU," the council said.

Ag agricultural products and oil supply remain excluded from sanctions, the statement said, attributing the move to the global food and energy crisis.

The country is a market leader in gold refining, according to a 2018 report of the World Wildlife Fund on the watch and jewelry sector, 60 to 70% of the world's gold transiting through Switzerland to be refined. born. Precious metal is a common material in Swiss luxury watches.

In July, the European Union banned imports from Russia of newly minted and refined gold, following similar announcements by the United States. United States, Britain and other Group of 7 nations in June.< /p>

Officials have described gold sanctions as another strategy to isolate the Russia from the international financial system, with Ukraine's allies already banning most trade with Russia.

Russia is one of the largest gold producers in the world and accelerated the extraction of new gold to offset frozen reserves held by Russian companies and oligarchs under sanctions, said Christopher Swift, a national security lawyer who previously worked at the Foreign Assets Control Office of the US Treasury Department.

The demand for gold decreased by 8% compared to the same period last year, according to the World Gold Council.

Patricia Cohe contributed reports.