Russia to ban trade with Turkey following downing of jet fighter
It is reported that Russia has decided to ban agriculture, fruit, vegetable imports from Turkey due to the downing of the Russia jet fighter by Turkish war planes several days ago. It is understood that Russia may expand its sanctions further if deemed necessary, as expressed by senior officials. Nevertheless it has also been reported that Moscow may delay the introduction of the food import restrictions for several weeks to ease inflationary pressure.
Russian President Vladimir Putin approved a document Nov. 28 slapping sharp economic sanctions on Turkey that include banning the employment of Turks in the country, following Ankara’s downing of a Russian jet on the border with Syria on Nov. 24, according to the Kremlin press service.
The Kremlin has released the text of a decree announcing an end to charter flights between the two countries, a ban on Russian businesses hiring any new Turkish nationals, and import restrictions on certain Turkish goods.
It also asked Russian tour operators to refrain from selling trips to Turkey, normally a top holiday destination for Russian tourists.
The visa-free regime between the countries will also be partially suspended. However, “the measure does not concern Turkish nationals who have a temporary or permanent resident permits, as well as Turkish staff of diplomatic or consular missions in Russia and their families,” the Sputnik news agency reported. In addition, the activities of Turkish organizations in Russia will also be restricted, the Kremlin stated. According to amalysts and economists the negative effect of these sanctions may amount to around $5 billion also due to losses especially in tourism and export revenues.
On the other hand some experts say “Turkey’s current account gap may hit $40 billion in 2016 if the crisis with Russia continues. It is very difficult to calculate what the Russian crisis will cost for Turkish companies that have operations in the country, but these costs will be high”
SOURCE: MEDIA
