The US Ends License Allowing Energy Deals With Russian Banks, Tightening Sanctions Across Key Sectors

The US Treasury confirmed that a license allowing energy-related transactions with Russian financial institutions expired as scheduled this week, Reuters reported on March 13.

The move is part of ongoing sanctions aimed at limiting Russia’s financial access to global markets.

According to Reuters, a Treasury spokesperson stated that General License 8L expired at 12:01 a.m. EDT on Wednesday. The license, originally issued on January 10, permitted foreign companies to finalize remaining energy transactions with Russian banks, including Sberbank, VTB, and the Central Bank of the Russian Federation.

The financing restrictions were part of the Biden administration’s efforts to limit Russia’s oil and gas revenues, aiming to support Ukraine’s position in potential peace negotiations. The measures also restricted dollar transactions with Russian energy firms Gazprom Neft and Surneftegas and applied to 183 vessels involved in Russian oil shipments, including many older tankers operated by non-Western companies.

A White House correspondent for FOX Business reported:

“That means European countries and our allies can no longer buy oil from Russia without sanctions from the US being imposed. A source tells me this is a negotiation tactic to end the invasion.”

US Treasury Secretary Scott Bessent criticized Biden’s approach, arguing that the sanctions were ineffective as they focused too much on maintaining low oil prices rather than curbing Russia’s revenue streams.

“The Trump administration remains focused on ending the fighting and fostering negotiations to end the war,” the Treasury spokesperson said. “We continue to implement our sanctions, which remain one of the levers to facilitate these goals.”

Additionally, world media indicate that due to Trump administration actions, nearly all major Russian banks, including the Central Bank of Russia and the Moscow Exchange, are now under full international blockade.

On March 11, the Russian Ministry of Finance released data on the execution of the federal budget for the first two months of 2025. The Russian treasury has faced a record budget deficit, which in just two months has already exceeded the planned annual target.