By FATIMA HUSSEIN
WASHINGTON (AP) — Treasury Secretary Janet Yellen warned a House panel Wednesday that Russia’s aggression in Eastern Europe may have “enormous economic repercussions in Ukraine and beyond.”
“Globally, spillovers from the crisis are heightening economic vulnerabilities in many countries that are already facing higher debt burdens and limited policy options as they recover from COVID-19,” Yellen mentioned in remarks to the House Financial Services Committee. They have been a part of her annual testimony on the state of the worldwide monetary system.
Yellen mentioned Russia’s invasion “including the atrocities committed against innocent Ukrainians in Bucha, are reprehensible, represent an unacceptable affront to the rules-based global order, and will have enormous economic repercussions for the world.”
Her remarks additionally touched on the necessity for meals and vitality safety and debt sustainability globally, and included a request for Congress to supply help to the International Monetary Fund and World Bank organizations, which have supplied grants and humanitarian funds financing to the world’s poorest and most susceptible.
The United States and Western allies have imposed an avalanche of sanctions in opposition to Russia within the first weeks of the conflict and administration officers in latest days have put extra give attention to closing loopholes that Russia may attempt to use to bypass them.
On Wednesday morning, the U.S. introduced extra sanctions, this time focusing on Russian President Vladimir Putin’s two grownup daughters and toughening penalties in opposition to Russian banks in retaliation for “war crimes” in Ukraine.
“Treasury is committed to holding Russia accountable for its actions so it cannot benefit from the international financial system,” Yellen mentioned.
Lawmakers questioned Yellen on China and Taiwan because the U.S. and its allies proceed to impose sanctions on Russia. She mentioned the U.S. is ready to impose sanctions in opposition to China if Beijing strikes aggressively towards Taiwan, as some worry it would.
“I believe we’ve shown that we can in the case of Russia,” she mentioned. “I think you should not doubt our ability to resolve to do the same in other situations.”
She was additionally requested about Russia’s involvement within the G20 summit, which is ready to happen in Indonesia later this 12 months.
“I’ve made clear to my colleagues in Indonesia that we will not be participating in a number of meetings” on the annual summit, Yellen mentioned.
President Joe Biden has mentioned he wish to kick Russia out of the G20.