Canadian banks banned from transactions with Russian Central Bank: feds

The federal government has banned Canadian financial institutions from any transactions with the Russian Central Bank.

It is the latest round of sanctions against Russia after the country invaded Ukraine last week, and an effort to restrict Russia’s ability to finance its invasion.

Deputy Prime Minister and Finance Minister Chrystia Freeland announced Monday that effective immediately, all Canadian financial institutions are prohibited from engaging in any transaction with the Russian Central Bank.

“Canada and its allies continue to take concerted action to ensure that Russia’s invasion of Ukraine will be a strategic failure. This has never been done before at this scale – today we are taking a historic step by directly censuring Russia’s central bank,” Freeland said in a statement.

In addition, Canada imposed an asset freeze and a dealings prohibition on Russian sovereign wealth funds.

Related: Trudeau announces 3rd round of sanctions against Russia, supports removing country from SWIFT

The federal government has already placed sanctions on Russian elites and politicians, including Russia’s President Vladimir Putin, as well as individual banks.

Meanwhile, at the UN Human Rights Council, Foreign Affairs Minister Mélanie Joly said Monday that Russia lied to the world ahead of its invasion.

“They are trying to justify their war by spreading false rhetoric and attempting to manipulate the principles of human rights and to support their illegal and illegitimate violence,” she said.

Joly also said future generations will look back to see how the world reacted to this invasion.

“Let it be said that we overcame narrow interests to speak in one voice against tyranny and aggression, in favour of peace and freedom.”

In addition to punishing Russia, Canada has sent lethal and non-lethal military equipment to Ukraine.