European Union member states have agreed to lift sanctions on two Russian oligarchs, Alisher Usmanov and Mikhail Fridman, as part of a broader three-year extension of restrictions targeting thousands of individuals and entities linked to Russia’s ongoing military actions in Ukraine. The decision emerged after protracted negotiations and was finalized at a meeting of the EU’s ambassadors.
France played a critical role in the exemption of Usmanov from sanctions, which include asset freezes and travel bans, tying the move to a confidential prisoner release arrangement involving Azerbaijan. Luxembourg similarly advocated for Fridman’s removal from the sanctions list. Fridman has pursued $16 billion in damages through arbitration proceedings against Luxembourg, citing losses related to EU sanctions.
The agreement, which needed unanimous support from the EU’s 27 member states, was approved despite some countries abstaining to signal dissent. Previously, sanctions linked to Russia had been renewed every six months, offering member states frequent chances to propose exemptions. However, the current extension spans three years, reflecting a strategic shift in the bloc’s approach.
Russia welcomed the decision, with Kremlin spokesperson Dmitry Peskov calling the sanctions “illegal” and urging the removal of all measures imposed on Russian individuals and businessmen. Moscow’s position aligns with the stance of the oligarchs, who have both contested their inclusion on the EU sanctions list. Usmanov has challenged the sanctions through multiple legal actions, disputing the EU’s claims that he maintains close ties to Russian President Vladimir Putin. Fridman, sanctioned in 2022, was criticized by the EU for his connections to the Kremlin and involvement in sectors generating significant revenue for the Russian government.
France’s firm insistence on removing Usmanov reportedly caused tensions within the EU, with diplomats cautioning that the move might undermine the sanctions regime by encouraging other wealthy Russians to seek similar exemptions. Some experts noted that the EU has previously removed individuals from the sanctions list either following successful legal challenges or changes in their circumstances. Additionally, a limited number of delistings have occurred due to political pressure from pro-Russian governments within the bloc, notably Hungary and Slovakia.
The latest decision reflects the complex interplay of geopolitical, legal, and diplomatic factors shaping the EU’s sanctions policy as it continues to respond to the conflict in Ukraine and its broader repercussions.