EU proposes 21st sanctions package against Russia, targeting banks and military industry

Jun 8, 2026

The EU has proposed its 21st sanctions package against Russia, aiming to weaken its war economy with a $1.5 trillion estimated impact. The measures target nearly 90 banks with asset freezes, 11 crypto platforms, and Russia's energy sector by freezing the oil price cap at $44.10. The package, which requires unanimous EU approval, also proposes listing 170 entities and barring Russian soldiers from the EU.

EU Russia sanctions package

▪The EU plans to bar former or current soldiers who have served in the Russian armed forces from entering the bloc
▪The European Union has proposed its 21st package of sanctions against Russia for its war in Ukraine
▪The package includes new export restrictions on goods usable by Russia's military industry and import bans on fish and high-performance metal alloys
▪The proposed package includes the listing of 170 individuals and entities
▪The new sanctions must be approved unanimously by all EU member countries to be adopted

Russian banking sector targeting

▪An EU diplomatic source said the goal of the banking sanctions is to weaken Russia's financial system and incentivize peace talks
▪The listed banks will be subject to asset freezes, travel bans, and transaction bans
▪The sanctions propose asset freezes on nearly 90 Russian banks, which would bring the total number of sanctioned banks to over 100
▪Russian companies currently use a broad network of smaller lenders to evade existing sanctions
▪Major Russian banks were disconnected from the SWIFT global financial payment system in 2022

Cryptocurrency platform sanctions

▪The package proposes transaction bans on 11 crypto platforms in Russia and third countries that help evade sanctions
▪Kyrgyzstan was the first third country targeted by the EU's anti-circumvention tool, partly for its role in Russian crypto transactions
▪The EU will introduce the possibility of a full ban on crypto asset services for third countries that host platforms helping Russia

Oil price cap freeze

▪The European Commission proposes to freeze the oil price cap at its current level of $44.10 per barrel for six months
▪The package adds a third-country oil refiner, oil traders, and 30 more vessels from Russia's "shadow fleet" to the sanctions list
▪The proposal includes tighter restrictions on Russian liquefied natural gas (LNG), such as on tanker resales

Russian economic slowdown warnings

▪Russian think tank TsMAKP has repeatedly warned of a latent banking crisis, a claim Russia's central bank denies
▪EU foreign policy chief Kaja Kallas estimated that Western sanctions have already cost Russia between $1.2 trillion and $1.5 trillion
▪Russia's economic growth slowed to 1% in the previous year from 4.9% in 2024, attributed to sanctions, high interest rates, and a strong rouble
▪European Commission President Ursula von der Leyen stated that Russia's economy is "slowing sharply."