Economics
To Punish Putin, the World Turned Finance Into a Weapon of War
Russia’s central bank became the main target on a front that could crater the country’s economy.
Illustration: Daphne Geisler
This article is for subscribers only.
The European Union, the U.S., and a handful of America’s allies in Asia have responded to Russia’s invasion of Ukraine with financial sanctions unprecedented for a target Russia’s size. The steps taken to isolate it within the global financial system are aimed at punishing President Vladimir Putin by sowing chaos in his country’s economy.
In the first week of the conflict, Russia’s central bank was struggling to contain the fallout on its own side of the border, while Ukraine’s was able to maintain a semblance of stability even as it rallied global financial resources around its defense effort.