US, Europe cut some Russian banks from Swift payment system

THESE are the developments over the weekend on the invasion of Ukraine:

Some Russian banks cut from Swift

Western nations agreed to unleash new sanctions to further isolate Russia's economy and financial system after initial penalties failed to persuade President Vladimir Putin to pull out of Ukraine.

A decision by Western nations to exclude some Russian banks from the SWIFT messaging system, used for trillions of dollars worth of transactions between banks around the world, was announced in a joint statement on Saturday.

The move is aimed at Russian banks that have already been sanctioned by the international community, but can be expanded to other Russian banks if necessary, according to a spokesman for the German government.

In addition, the nations said they would act together to impose "restrictive measures that will prevent the Russian Central Bank from deploying its international reserves in ways that undermine the impact of our sanctions."

More penalties against the bank could come this weekend, according to a US official. Russia has about US$640 billion in reserves.

Germany to ban Russian flights; EU may follow

Germany is preparing to close its airspace to Russian carriers, the country's transport ministry said, while a separate report from ARD said the entire EU may follow, citing sources.

Russia says government-Services site hit with Cyberattack

Russia's main government-services website came under a DDOS attack of unprecedented scale, the Digital Ministry said Saturday, according to Tass. The attacks were repulsed and service restored, it said.

A number of official and state-company websites appeared to be suffering disruptions Saturday as international hacker groups threatened to target Russian sites over the Ukraine invasion.

Abramovich hands over 'stewardship' of Chelsea

Russian billionaire Roman Abramovich said he would hand over the "stewardship and care" of his Chelsea Football Club to the organisation's charitable foundation. He didn't indicate that he was open to selling the team.

"During my nearly 20-year ownership of Chelsea FC, I have always viewed my role as a custodian of the club, whose job it is ensuring that we are as successful as we can be today, as well as build for the future, while also playing a positive role in our communities," Abramovich said in a statement. "I remain committed to these values. That is why I am today giving trustees of Chelsea's charitable foundation the stewardship and care of Chelsea FC."

With pressure on Russia's wealthiest citizens growing over the Ukraine invasion, sports investors and private equity firms have begun to draw up potential takeover offers for the London team, people familiar with the matter said. Abramovich has a net worth of about US$13 billion, according to the Bloomberg Billionaires Index.

Germany to send Stingers, anti-tank weapons

Germany's government will provide 500 Stinger surface-to-air missiles and 1,000 anti-tank weapons to Ukraine "as quickly as possible," signalling a further shift in its traditional restraint on weapons exports.

The weapons will come from German armed forces stockpiles, government spokesman Steffen Hebestreit said in a statement.

"Russia's invasion of Ukraine marks a turning point," German Chancellor Olaf Scholz said in the statement. "It threatens our entire postwar order. In this situation, it is our duty to do our best to help Ukraine defend itself against Vladimir Putin's invading army."

Earlier, Scholz's government said it was allowing the transfer of other German armaments via the Netherlands and Estonia.

Musk activates Starlink satellites for Ukraine

Elon Musk said his Starlink satellite service is up and running in Ukraine, responding to a plea from the deputy prime minister to supply satellite-based communications to help resist Russia's invasion of the country.

More Starlink terminals are en route, Musk tweeted Saturday in reply to Mykhailo Fedorov's entreaty, without explaining how the equipment would get there.

Pentagon cites resistance to Russia

Ukraine so far appears to have prevented Russia from achieving air dominance inside the country and it continues to face resistance from Ukrainian aircraft and missile defenses, a senior U.S. defense official told reporters Saturday morning.

The Russian military faces stiff resistance from Ukrainian forces across the country, especially in the north, where Russian troops are now within approximately 30 km from the capital, Kyiv, the person said. Russia has yet to take control of any major cities, the person added.

US military assistance has continued to flow to Ukraine in the last couple of days, the person said, even as the country's airspace has become contested.

Turkey denies closing Black Sea to Russian warships

A senior Turkish official with direct knowledge of the matter told Bloomberg News that President Recep Tayyip Erdogan didn't tell Zelensky on Saturday that Turkey is closing or has shut the Black Sea for Russian warship access.

Zelensky posted on his Twitter account that Erdogan told him on a call on Saturday that Turkey would ban passage of the ships. Turkish officials have called for an end to the conflict in Ukraine and have offered to mediate the crisis.

France intercepts Russian cargo ship

French authorities say a navy patrol intercepted a cargo ship sailing in the English Channel under the Russian flag, the Associated Press reported.

The interception of the ship, carrying cars, early Saturday was triggered by financial sanctions levied against Russia for its invasion of the Ukraine. Maritime spokesperson Veronique Magnin said it appeared to be the first such action in the English Channel under the days-old sanctions regime.

Medvedev sees 'good opportunity' to reinstate death penalty

Dmitry Medvedev, the former Russian president who oversaw a brief liberalisation after Putin's first two terms, wrote on Facebook today that his country's suspension from the Council of Europe offered a "good opportunity" to end a moratorium on capital punishment.

Medvedev, who holds a special post Putin created for him as deputy head of Russia's Security Council, also called for foreigners' assets to be seized in Russia in response to sanctions against Russians abroad.

The "monstrous" limitations being imposed against Russia won't have any effect on Russia's resolve to continue "conducting the military operation to protect Donbas," Medvedev wrote.

Kremlin says Ukraine refused talks, military operations resume

Russia has resumed military operations in Ukraine after Kyiv refused to conduct negotiations, Kremlin spokesman Dmitry Peskov said on a conference call.

Peskov said President Vladimir Putin had ordered Russian troops to stop their advance Friday as the two sides discussed the possibility of negotiations, but had failed to reach agreement on a format or location.

More weapons aid

The Czech Republic will send machine guns, sniper rifles, handguns and ammunition worth about US$9 million, Defence Minister Jana Cernochova said. Last month the Czechs agreed to send 4,000 artillery shells. Slovakia will send artillery shells and fuel, Defense Minister Jaroslav Nad told journalists. Germany said it would deploy troops to fellow Nato member Slovakia to set up a Patriot anti-aircraft missile system on its territory.

Four million Ukraine refugees expected

EU energy ministers will convene Monday in Paris for an extraordinary meeting following "Russia's aggression against Ukraine," the French ministry of ecological transition said in a statement. France currently holds the EU's presidency.

EU home affairs ministers will also hold an emergency meeting. The EU's 27 home affairs ministers will hold an extraordinary gathering on Sunday to discuss humanitarian support for Ukraine and the refugee situation. They'll also talk about how to manage the bloc's external borders and related security issues.

United Nations agencies forecast as many as 4 million refugees will flee Ukraine to neighbouring countries if the Russian invasion continues.

Poland Border Guard figures showed that 47,500 people arrived from Ukraine on Friday, about five times the daily average from last year. Some 10,000 crossed back into Ukraine.

Russian Bank VTB's London foothold hit by sanctions

The sanctions levelled by the UK against Russia's second-largest bank took an immediate toll this week, potentially dealing a knockout blow to its slowly fading plans to be a major player in the City of London.

The London Stock Exchange suspended VTB's membership on Friday, meaning it can no longer trade there. The bank has also lost access to the London Bullion Market Association, where it traded precious metals along with its Russian peer, Sovcombank.

VTB's London decline has been under way for years, as the bank shifted more of its operations to Frankfurt and Zug, Switzerland. Now other lenders are racing to cut ties with VTB after the UK Treasury froze its assets, and some competitors have urged British officials to issue a wind-up order so they can unravel their ties with the Russian bank. BLOOMBERG