Ukraine’s Parliament has adopted a Sanction Law consisting of a list with more than 25 types of economic restrictions to be applied against countries, foreign legal entities and individuals involved in terrorism and other activities that threaten sovereignty and territorial integrity of Ukraine. The law was voted on in Parliament on August 14, 2014.
With an aim to protect Ukraine’s national interests and national security, as well as to counter terrorism and human rights violations, sanctions may be applied against a) foreign countries; b) foreign legal entities as well as legal entities under the control of foreign legal entities or c) foreigners, stateless persons and other subjects involved in terrorist activity.
The Sanctions Law stipulates that the grounds for restrictions to be applied are, inter alia, the activities of a foreign country, foreign legal entities or individuals and other subjects that create real and/or potential threats to national interests, national security, sovereignty and territorial integrity of Ukraine as well as actions that facilitate terrorism and/or encroach upon human rights and freedoms, activities that lead to expropriation or proprietary rights restrictions, damages to property, impediments to sustainable economic development and full-fledged exercise of Ukrainian citizens’ rights and freedoms.
Types of sanctions
Introduction, amendment and cancellation of sanctions
The suggestions as to the introduction, amendment and cancellation of sanctions are made by the Ukrainian Parliament, the President of Ukraine, the Ukrainian government (Cabinet of Ministers of Ukraine), the National Bank of Ukraine and the Security Service of Ukraine. However, the decision as to the introduction, amendment and cancellation of sanctions is made by the National Security and Defence Council of Ukraine (“the Security Council”) as follows.
In case of sector sanctions, the Security Council’s decision is enacted by the President’s of Ukraine decree and is subject to approval of the Parliament of Ukraine within 48 hours. The Security Council’s decision is effective upon the approval by the Ukrainian Parliament.
In case of personal sanctions, the Security Council’s decision is enacted by the President’s of Ukraine decree, which renders the Council’s decision effective.
In addition, the Sanctions Law also considers as a sanction the termination of international treaties to which Ukraine is a party. In this case the decision to denounce international treaties is made by the Parliament of Ukraine.