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A look at US, European sanctions on Russia

By WTOP Staff

DEB RIECHMANN
Associated Press

WASHINGTON (AP) — With Russian tanks apparently crossing into southeastern Ukraine, President Barack Obama is suggesting the possibility of more sanctions on Russia.

The sanctions imposed so far have not deterred Russia, but uncertainty over their long-term impact has caused economic growth forecasts to plummet, prompted investors to pull money out of the country at almost twice the pace as last year and forced its central bank to raise rates to defend the Russian currency.

Russian stock markets dived on Thursday as Switzerland joined the European Union in imposing restrictions on Russian state banks and fears grew that the U.S. and EU could impose further sanctions on Russian businesses and individuals.

Obama said that sanctions already announced have had some impact, yet he conceded that they have not forced Russia to resolve the crisis diplomatically. “I think there are ways for us to deepen and expand the scope of some of that work,” he said.

A look at sanctions the U.S. and Europe have imposed on Russia:

U.S. SANCTIONS

In mid-July, the United States imposed sanctions on lucrative Russian energy and defense entities, as well as major banks.

The penalties significantly expanded on previous U.S. sanctions, which hit Russian individuals and companies with travel bans and asset freezes. But the new sanctions stopped short of fully cutting off key Russian economic sectors, a card that U.S. officials said they were holding in case Moscow launched a full-scale invasion of Ukraine or took similar provocative actions.

The Treasury Department sanctions targeted two major Russian energy firms, Novatek and Rosneft, and a pair of leading Russian financial institutions, Gazprombank and VEB. The sanctions restrict the entities’ ability to access U.S. capital markets, officials said.

Eight Russian firms responsible for the production of small arms, mortar shells and tanks were also hit with sanctions.

Also included on the sanctions list were four individuals: Putin adviser Igor Shchegolev, Russian State Duma Deputy Speaker Sergei Neverov, Ukrainian separatist leader Aleksandr Borodai and Sergey Beseda, an official with Russia’s Federal Security Service, the intelligence agency that replaced the KGB after the collapse of the Soviet Union.

EU SANCTIONS

In late July, the European Union imposed widespread sanctions on Russia that ranged from freezing the assets and imposing travel banks on rich Russians to prohibiting banks controlled by the Russian government from selling bonds and shares on the EU market.

The EU, Russia’s biggest trading partner, also banned the export of certain oil exploration equipment — action intended to hamper long-term development of Russia’s oil industry. Moreover, the EU banned exports and imports of weaponry and other military goods to and from Russia.

The EU also has imposed asset freezes and travel bans on 95 Russian officials or pro-Russian Ukrainians held responsible for the annexation of the Crimean Peninsula or the destabilization of eastern Ukraine. They include three Putin associates: his former judo partner, Arkady Rotenberg, and the two largest shareholders of Bank Rossiya, Yuri Kovalchuk and Nikolai Shamalov.

In addition, 23 companies and institutions were sanctioned, including the subsidiary of the Russian state-owned Aeroflot airline that operates between Moscow and Crimea, and Almaz-Antei, which the EU said makes anti-aircraft missiles that separatists in Ukraine have used.

RUSSIA RETALIATION

After the United States and the European Union imposed sanctions on Russia, Moscow responded with a one-year ban on food products, such as meat, fish, fruit, vegetables and milk, from the U.S. and Canada; all 28 EU countries, plus Norway and Australia.

Although the U.S., Canada and the European Union together are expected to take a more than a $17.5 billion hit from the one-year ban, Russian consumers were expected to feel it more than Western farmers.

Copyright 2014 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

Don’t Settle for Student Loans to Pay for Online Education

By WTOP Staff
Online college programs are becoming a more popular choice for prospective students, with one study finding that more than 6 million students enrolled in at least one online course in fall 2015. The popularity of these courses can be attributed in part to their flexibility with working adults' schedules, students' ability to progress more quickly through online programs and, oftentimes, cheaper tuition. [See 10 low-cost online bachelor's programs for out-of-state students.]Online degrees can be beneficial to many college students, but some studies have shown online learners complete their programs at lower rates than students at traditional brick-and-mortar campuses. Individuals with student loans but no degree comprise two-thirds of defaulted borrowers. Though these numbers are not encouraging, just like for traditional programs, there are ways to reduce how much you'll need to borrow for an online program to ensure you won't become one of these statistics. Don't just settle on borrowing student loans to cover the whole cost of your program and living expenses. Instead, start thinking about how to cut costs and cover your balance in different ways, such as the following. -- Grants and scholarships: Even though you are taking an online course, you can still apply and receive grants and scholarships. But your first step should be to complete the Free Application for Federal Student Aid, commonly referred to as the FAFSA, which will allow you to receive a Pell Grant if your expected family contribution is low enough. The EFC criteria and award amounts are adjusted annually, but the 2017-2018 academic year awards range from $606 to $5,920, which could significantly lower the amount you borrow annually. Your next step is to apply for scholarships. You can start by checking online scholarship search engines, such as the Salt Scholarship Search, College Board's BigFuture and Peterson's. But don't forget to take advantage of local organizations and your school's financial aid office. Both may offer scholarships that you can't find with a national scholarship search. [Review these 10 sites to kick off your scholarship search.]For instance, organizations like the Elks Club, Knights of Columbus or the Rotary Club typically offer scholarships annually to local students. Just because you're going to school online doesn't mean you're ineligible. Visit your local library for scholarship listings, and ask around town. You might be surprised how many local organizations offer scholarships. While these scholarships typically aren't large, every little bit counts. Each dollar you receive in a scholarship is a dollar you don't have to borrow and pay interest on. -- Work-study: Another option for online students may be work-study awards. Not all students enrolled in online programs are eligible, but students at some schools -- including, for example, SUNY Empire State College and Liberty University -- are. Work-study awards are not given upfront like scholarships and grants. In most cases, they are an offer to earn up to the awarded amount if you secure an eligible work-study job. While there is a misconception that all work-study jobs must be on campus, students can work for off-campus, nonprofit or public employers as long as the work is in the public's interest. You may be able to work for a for-profit employer if the job is relevant to your course of study. No matter who the outside employer is, it will need to have an established agreement with your college for you to receive work-study funds. Remember, to be eligible for federal financial aid, you must be enrolled and pursuing a degree or certificate. If you're not working toward a credential, Pell Grants and work-study won't be option, but you may still be able to take advantage of private scholarships -- just be sure to read the eligibility criteria carefully. [Explore what to know about financial aid in online programs.]-- Pay as you go: One of the great benefits to enrolling online is the flexible schedule, which can allow you to complete your college coursework around your responsibilities. But prospective students often overlook using their part- or full-time job earnings as an option for paying for college. Almost 80 percent of college students in 2015 worked at least part time while attending classes, according to the National Center for Education Statistics. By budgeting and thinking strategically about your college costs, you can likely reduce your dependence on student loans by paying a portion out of pocket. Many -- but not all -- online programs are less expensive than traditional programs and often have shorter payment periods. Six, eight or 10 weeks are common course durations. Because of the frequency of payments in an online setting, you may be well-placed to pay as you go and possibly avoid borrowing altogether. Attending college online and avoiding student loans may be challenging, but if you are willing to put in the effort, you can limit the amount you need to borrow. More from U.S. News Q&A: Understanding Student Loan Discharge Eligibility Student Loan Refinancing Isn't Right for All Borrowers
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