The President of the United States, Joe Biden, on Tuesday signed a law prohibiting the Secretary of the Treasury from providing dollars in International Monetary Fund money to Russia and Belarus, as a result of their participation in the invasion of Ukraine.
The White House reported this Tuesday that the US President had enacted Human Rights Act 6899 for Russia and Belarus (the currency used by the International Monetary Fund and the International Monetary Fund) the Exchange Prohibition Act of 2022, which “prohibits the participation of the Secretary of the Treasury in transactions involving SDR exchanges.” and special drawing rights.
The initiative will also force consultations with other countries so that they “reciprocately refuse to transfer” the Russian and Belarusian SDRs.
The term of the initiative will expire five years after its adoption or 30 days after the US president confirms to Congress that the Russian and Belarusian governments “have ceased destabilizing activities in connection with the sovereignty and territorial integrity of Ukraine.”
In August 2021, the International Monetary Fund approved $650 billion in Special Drawing Rights for member countries in a program to deal with the COVID-19 pandemic crisis. In this plan, Russia received 12.3 million SDRs. In addition, IMF money represents about three to four percent of Russia’s international reserves, according to TASS.