The United States government is mounting pressure on its Middle East allies to curb Russia's war machine from evading sanctions designed to force it to stop its war on Ukraine.
On Monday, a top US Treasury official traveled to the United Arab Emirates (UAE) to warn the regional business hub that assisting Moscow in evading sanctions would be met with consequences.
US Pressure on Allies
Brian E. Nelson, the Under Secretary of the Treasury for Terrorism and Financial Intelligence met with senior government officials from various UAE ministries. It was there where he discussed "rooting out evasion of US sanctions, particularly on Russia and India."
He is also expected to talk about the US government's commitment to implement more sanctions against parties trying to evade or facilitate the evasion of sanctions.
Previously, the US Treasury warned that individuals and institutions operating under permissive jurisdictions, including the UAE and Turkey, could potentially lose access to G7 markets for conducting business with sanctioned entities or failing to maintain due diligence against illicit finance, as per CNN.
The countries that are a part of the G7 are Canada, France, Germany, Italy, Japan, the United Kingdom, and the United States. Since Russia's invasion of Ukraine began, the Gulf state has been on thin ice regarding relations with Washington and Moscow. It opted to remain neutral as it views the world order as moving toward multi-polarity.
The US government has repeatedly called on its Middle Eastern allies to shore up support for its efforts to curb Moscow's war machine. However, a public threat of consequences against a close ally like the UAE is considered a rare move.
The global head of sanctions, compliance, and risk at the Association of Certified Anti-Money Laundering Specialists (ACAMS), Justine Walker, said that the world order is now a bit more about sending a message and indicating the gravity of the situation.
She added that if an entity were going to deal in business with Russia, it would not be able to do business with the United States. Since the invasion, the UAE has become the top Arab destination for Russian investors, causing the Gulf state's real estate market to surge.
Curbing the Russian Economy
On top of warning the UAE, Nelson also met with Turkish officials in an attempt to clamp down on the flood of goods to Russia. According to Bloomberg, American authorities warned that the defense industry could use tens of millions of dollars worth of export-controlled goods traveling to Russia to extend the war on Ukraine.
From March to October last year, dozens of Turkish exporters sent roughly $800 million worth of goods to Moscow. This includes about $300 million in machinery and another $80 million in electronics. Despite the claims, officials from Turkey's trade and finance ministries did not immediately respond to comments regarding the matter.
The US government has also ramped up pressure to have Middle Eastern allies expel the Wagner Group, a military contractor with close relations with Russian President Vladimir Putin, said France24.
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