EU Chokes Syria Economically: Central Bank, Gold Trade may be Targeted

Representatives from EU begin discussing new punitive measures after China, Russia vetoed UN resolution aimed at ending Syria crackdown.

ADO-World.org
07-February-2012

BRUSSELS - The European Union is considering new sanctions against Syria’s central bank and a ban on gold trade in an effort to further cut the regime’s access to funds, diplomats said Tuesday.

Representatives from the 27-nation bloc began discussing new punitive measures Monday after China and Russia vetoed a UN Security Council resolution aimed at ending a brutal crackdown that has intensified since the weekend.

"There’s a long way to go yet, but we’re looking at economic measures which will tighten further the Syrian regime’s access to sources of finance," a diplomat said.

Another diplomat said the sanctions could target Syrian central bank transactions as well as a ban on the sale of gold and other precious metals — similar to measures taken against Iran last month.

The EU has already prohibited the delivery of bank notes and coins to the Syrian central bank in a previous set of sanctions approved last year.

A ban on gold and gems had been agreed in principle last year but a final decision was never taken. Diplomats said it was put back on the table this week.

The EU has imposed an asset freeze and visa ban on 108 individuals and an asset freeze on 38 entities. A diplomat said more asset freezes were being discussed.

The bloc is also enforcing an arms embargo and a ban on imports of Syrian crude oil.

Britain, France, Italy and Belgium have recalled their ambassadors from Syria for consultations while the United States has closed its embassy. The EU, however, said it had no plans withdraw its envoy.

Source: Middle East Online