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Sanctions on Russia show benefits of globalisation

Economic restrictions work when they are co-ordinated and target clear, unpardonable violations of international law.

Shiro Armstrong and Tom WestlandTrade expert

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With extensive economic sanctions imposed on Russia, the United States and its allies have inflicted massive damage without firing a shot.

The foreign exchange reserves Russia accumulated with tight fiscal policy for years are frozen, leaving the central bank incapable of mounting a defence of the rouble. Much of its banking sector has been crippled after being cut out of the SWIFT payment system. Multinational corporations are rushing to exit the country.

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Shiro Armstrong is a professor and director of the Australia–Japan Research Centre at the Crawford School of Public Policy at the Australian National University.

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    Original URL: https://www.afr.com/policy/foreign-affairs/sanctions-on-russia-show-benefits-of-globalisation-20220321-p5a6hl